Application of Inflation Accounting

Dear Member,
With reference to the letter sent to our Chamber by TOBB, the uncertainties raised by our members as to whether inflation-adjusted values or nominal values are to be taken into account in the calculation of insolvency for "expenses arising from leases, depreciation and personnel expenses accrued in 2020 and 2021" within the scope of Provisional Article 1 of the Communiqué on the Procedures and Principles Regarding the Application of Article 376 of Turkish Commercial Code No. 6102 have been
conveyed to the Ministry of Trade by our Union.
In the annexed response of the Ministry of Trade (Directorate General of Domestic Trade), it was assessed that companies obliged to apply inflation adjustment may take into account inflation-adjusted financial statements in calculations relating to capital loss or insolvency.

Annex: Application of Inflation Accounting

Kind regards,
Elazığ Chamber of Commerce and Industry