With an Inward Processing Authorization Certificate, it is possible to benefit from exemptions from Customs Duty, VAT, Stamp Duty, anti-dumping duty, additional customs duties, additional financial obligations, Special Consumption Tax (SCT), as well as other taxes and funds, exemptions from fees and charges, exemption from Resource Utilization Support Fund (RUSF), exemption from trade policy measures, deferred VAT in domestic purchases, permission for domestic sales and deliveries, and guarantee reductions related to taxes to be paid on imports.

Benefiting from these advantages helps our business partners significantly reduce their costs. Especially in imports, there is currently no other program or regime that offers such comprehensive benefits.

In this context, as AGM, we project and proactively manage our business partners’ inward processing operations from A to Z.

(1) Planning and Training
To ensure proper planning, we examine the capacity report and visit the production facility. By analyzing production inputs and outputs, we complete a cost-benefit analysis for obtaining the inward processing authorization certificate. The process gains ground through regulatory information and training sessions we organize for our business partners.

(2) Registration with the DYS System
For submitting an IPA (Inward Processing Authorization) application in the DYS system, we register our business partner in the system. To enable transactions in the name of our partner, the authorized e-signature user signs a commitment letter to carry out electronic transactions. Based on the capacity report and production analysis, we complete the document project containing imported inputs and exported products. Mandatory HS Codes (GTIP) are identified, ensuring their consistent use in declarations.

(3) Conducting IPA Revisions, Additional Time Procedures, and Monitoring Processes
After the IPA is obtained, we handle updating the document, requests for additional time, and monitoring procedures. We provide information and reporting to our business partners, ensuring that the declarations are prepared in compliance with the IPA document. Declaration preparation processes are also controlled by us.

(4) Carrying Out TEV Account Calculations and Payments, and Monitoring Processes
Under the IPA, countries other than PAAMK countries are generally referred to as “Third Countries.” If raw materials are imported from these countries and exported to PAAMK/FTA countries under the IPA, a Compensation Tax (TEV) equivalent to the unpaid customs duties on imports becomes due. TEV includes only customs duties and excludes additional or anti-dumping taxes.

During the IPA closing process, TEV payment receipts are requested. In the import and export transactions managed by AGM, TEV receipts are obtained by us. Moreover, the Global TEV Table (Appendix-8), which must also be presented during the closure stage, is calculated by AGM, and any missing items are corrected and submitted accordingly.

(5) Entering Domestic Purchase Invoices into the System and Tracking Inter-Document Sales Transactions
If raw materials are procured domestically under IPA, relevant invoices are entered into the DYS system by us. In the context of inter-document sales, we follow up on closing the first and second documents.

(6) IPA Closure
In the last month before the expiry of the document period, the IPA is analyzed. Controls are carried out in accordance with legal requirements, such as goods that have not been exported, Foreign Exchange Usage Ratio, product description, and HS Code (GTIP) verification. Necessary precautions are taken to prevent penalties during this process. An expertise report is obtained, and compliance with other special condition clauses is checked, with the Chamber of Industry following up on the expertise report.

IPA closure applications must be submitted within three months of the document expiry date. In this context, a closure application is made following the fulfillment of the commitment by us, and the closure process is meticulously tracked, with the closure letter delivered to the relevant party.

Guarantee settlements based on the closure letter and accompanying import and export lists are completed.

The analytical business processes we undertake can be summarized as follows:

• To ensure the accuracy of the declaration information, item-based product description, HS Code (GTIP), and line code checks are performed.
• Elements determined in the project, such as unit weight and unit price, are compared with the actual import and export declarations to identify errors.
• Balances, including entitlements based on export quantities, are calculated based on the quantities realized in the project.
• In addition, the first- and second-unit consumption tables are prepared.
• EU and Third Country consumption tables are created.
• Warnings are issued regarding whether circulation and preferential origin certificates have been arranged for each declaration.
• The Global Compensatory Tax (TEV) Table (Appendix-8) is created, and quantity matching with import and export declaration data is carried out.
• Finally, closure lists to be submitted to the Ministry are prepared in the required format.
• Expertise report tracking is performed throughout every stage of the process.
• Reporting and coordination meetings are conducted at 15-day and monthly intervals.