Turkey Plans to Increase Minimum Pension

The ruling party in Turkey has submitted a bill to parliament to raise the minimum pension from 2,500 lira to 12,500 lira (378 dollars) per month, and to set a minimum tax rate for large multinational corporations as expected. The government had previously stated it did not intend to increase the minimum monthly pension of 10,000 lira this year, citing tightened monetary policies and expense cuts aimed at controlling inflation. However, with the annual inflation rate exceeding 71 percent last month, leading to a persistent cost-of-living crisis, the main opposition party has called for increases in pensions and the minimum wage. The bill also includes new plans for expense management aimed at enhancing fair tax policy, including a minimum corporate tax rate. A 15 percent minimum tax will be imposed on multinational companies with a combined annual revenue exceeding 750 million euros (817.58 million dollars), according to the bill. The bill also establishes a 10 percent minimum corporate tax for local companies.