Turkish finance ministry launches probe into outrageous price pumping
File photo shows a Turkish tax inspector conducts an inspection at a business establishment, capturing evidence using a mobile device. (AA Photo)
Turkish Ministry of Treasury and Finance launched an investigation into sectors exhibiting unfair competition tendencies and firms increasing prices despite no rise in costs.
According to a brief from the ministry provided to an Anadolu Agency (AA) reporter on Sunday, the investigation is focusing on intensifying inspections of unregistered transactions carried out through monetary operations.
Within this scope, a comprehensive investigation is underway targeting businesses that have increased prices above sector averages during inflationary periods without reflecting this in taxable earnings, resisted lowering prices during deflationary phases, and demonstrated tendencies toward cartelization within their sectors.
International prices under scrutiny
Products whose international prices are significantly lower than domestic prices—exceeding levels justified by purchase costs, customs duties, storage, transportation and tax expenses—are also being identified.
Authorities aim to determine whether firms selling these products play a dominant role in price manipulation by controlling a significant portion of the sector’s trade or by forming cartel-like relationships with other taxpayers.
The results of these inspections will be shared with other relevant public institutions, such as the Ministry of Trade and the Competition Authority.
‘We will not allow market dominance to be abused’
Treasury and Finance Minister Mehmet Simsek emphasized that taxpayers failing to properly pay direct taxes, such as income and corporate taxes, create inequality within their sectors, leading to the indirect collection of unpaid taxes from other taxpayers.
Highlighting that some companies frequently raise prices and often evade taxes through unlawful means, such as inflating costs or using fraudulent documents, Simsek stated: “We will not allow market dominance to be abused. We are taking necessary measures against those who continuously increase product prices without cost hikes and declare low tax returns.”
