Newsletter on the Amendments to the Regulation for Implementation of Foreign Direct Investment Law
As per the “Regulation Amending the Regulation for Implementation of Foreign Direct Investment Law” published in the Official Gazette dated October 16, 2020 and numbered 31276, “Regulation For Implementation of Foreign Direct Investment Law” published in the Official Gazette dated August 20, 2003 and numbered 25205 (“Regulation”) has been amended.
With these amendments, the companies and branches[1] within the scope of the Foreign Direct Investment Law (“Law“) became obliged to obtain a registered e-mail (“REM“) account from registered e-mail service provider. With the Regulation, amendments towards the delivery of the documents, notifications and applications to the Directorate General of Incentive Implementation and Foreign İnvestment (“General Directorate“) by these companies and branches through their REM accounts have been introduced.
- Obligation on the Notification and Delivery of Documents through REM Account
Within the scope of the amendments to the Regulation, the applications to be made to the General Directorate for the following processes will be sent to the REM address of the General Directorate, together with the copies of the required documents:
- Authorization of users who will make transactions through E-TUYS system on behalf of the companies and branches within the scope of the Law,
- Extension of authorization periods of users who will make transactions through E-TUYS on behalf of the companies and branches within the scope of the Law,
- The revocation of the authority of users who make transactions through E-TUYS on behalf of the companies and branches within the scope of the Law,
- The waiver by the users who make transactions through E-TUYS on behalf of the companies and branches within the scope of the Law from their authority,
- Delivery of documents certifying the change made in the tax number of companies and branches within the scope of the Law,
- Changes in other information and documents pertaining to the companies and branches within the scope of the Law or the relevant users (It is also possible to make a notification through e-TUYS system).
Accordingly, the valid REM accounts previously provided for other purposes by companies and branches within the scope of the Law can also be used for E-TUYS system.
It includes companies and branches established by foreign investors or companies in which foreign investors are shareholders through the economic assets specified in the Law.
2.Obligation on the Protection of the Authorized User’s Documents
As per the amendments made in Article 10 of the Regulation, companies and branches within the scope of the Law are obliged to (i) send the information and documents required for the applications in relation to appointment of users who will make transactions through E-TUYS in full and correct and (ii) keep the originals of such documents for a period of 10 years.
3.Authorization Application Period
In accordance with the Provisional Article numbered 2 of the Regulation, companies and branches within the scope of the Law will be entitled to make physical authorization applications to the General Directorate only for the authorization of users, who will make transactions through E-TUYS, until November 16, 2020.