Deadlines to Apply for Debt Restructuring and First Installment Payments Have Been Extended

Presidential Decree (“Decree”) No. 4420 published in the Official Gazette on 27 August 2021 has extended the deadline for debt restructuring applications by one month. Applications will now be accepted until 30 September 2021.

Previously Law No. 7326 regarding the Restructuring of Certain Receivables and Amending Certain Laws was published in the Official Gazette on 9 June 2021.  Please find our alert on the matter here. Under Law No. 7326, taxpayers were given the opportunity to pay their taxes without being exposed to tax penalties and additional interest accrued for delay, with the deadline for restructuring applications set for 31 August 2021. The Decree has now extended this date by one month.

Additionally, the first installment of restructured debts was due to be paid to the relevant public institutions by 30 September 2021. The Decree has postponed the payment date by one month, making 1 November 2021 the deadline for the payment of first installments.