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Impacts of new minimum wage

As of the beginning of this year, a legal regulation was made to exclude the minimum wage from the scope of income and stamp
tax. Accordingly, from the monthly gross amount of the minimum wage valid in the month in which the payment is made; the
wages corresponding to the remaining amount after deducting the employee's social security premium and unemployment
insurance premium were exempted from income tax. Not only those who earn the minimum wage, but also those who earn
more than the minimum wage can benefit from this exemption for a portion of their wages equal to the minimum wage.

In addition, the regulation stating that the papers regarding the above-mentioned fees are exempt from stamp tax has been
added to the relevant law. Accordingly, stamp tax exemption is also applied for the portion corresponding to the monthly gross
minimum wage. In other words, the stamp tax exemption is applied to the portion of the wage income up to the minimum wage
and the stamp tax continues to be calculated at the rate of 7.59 per thousand on the exceeding portion.

Minimum wage hike in July

In order to prevent the meltdown in purchasing power due to the increase in inflation, the practice of determining the
minimum wage twice a year, which was last applied in 2015, has been introduced again during this year. The minimum wage
determination commission, which met several times at the end of June, increased the gross minimum wage from 5 thousand 4
liras to 6 thousand 471 liras, effective as of 1 July. This increase has affected not only the minimum wage, but also other higher
wage earners.

The table showing the income and stamp tax advantages and net wages that an employee who earns a gross wage of 10
thousand TL per month will benefit from due to the minimum wage exemption is called to your attention below:

Tax
Insurance and Calculation Deducted Deducted
Total
Months Gross wage unemployment Income tax ıncome Exempted amount of income Calculation Exempted stamp deduction Net wage
exempted
base
tax base
stamp tax
stamp tax
premium tax* tax tax
tax base
January 10,000.00 1,500.00 8,500.00 1,275.00 4,253.40 638.01 636.99 75.90 37.98 37.92 2,174.91 7,825.09
February 10,000.00 1,500.00 8,500.00 1,275.00 4,253.40 638.01 636.99 75.90 37.98 37.92 2,174.91 7,825.09
March 10,000.00 1,500.00 8,500.00 1,275.00 4,253.40 638.01 636.99 75.90 37.98 37.92 2,174.91 7,825.09
April 10,000.00 1,500.00 8,500.00 1,375.00 4,253.40 638.01 736.99 75.90 37.98 37.92 2,274.91 7,725.09
May 10,000.00 1,500.00 8,500.00 1,700.00 4,253.40 638.01 1,061.99 75.90 37.98 37.92 2,599.91 7,400.09

June 10,000.00 1,500.00 8,500.00 1,700.00 4,253.40 638.01 1,061.99 75.90 37.98 37.92 2,599.91 7,400.09

July 10,000.00 1,500.00 8,500.00 1,700.00 5,500.35 825.05 874.95 75.90 49.11 26.79 2,401.73 7,598.27

August 10,000.00 1,500.00 8,500.00 1,700.00 5,500.35 1,051.11 648.89 75.90 49.11 26.79 2,175.68 7,824.32

September 10,000.00 1,500.00 8,500.00 2,155.00 5,500.35 1,100.07 1,054.93 75.90 49.11 26.79 2,581.72 7,418.28

October 10,000.00 1,500.00 8,500.00 2,295.00 5,500.35 1,100.07 1,194.93 75.90 49.11 26.79 2,721.72 7,278.28

November 10,000.00 1,500.00 8,500.00 2,295.00 5,500.35 1,100.07 1,194.93 75.90 49.11 26.79 2,721.72 7,278.28
December 10,000.00 1,500.00 8,500.00 2,295.00 5,500.35 1,100.07 1,194.93 75.90 49.11 26.79 2,721.72 7,278.28

Total 120,000.00 18,000.00 102,000.00 21,040.00 58,522.50 10,104.50 10,935.50 910.80 522.57 388.23 29,323.73 90,676.27

Sep Eylül 2022tember 2022 9