ACCOUNTING FOR INVESTMENT PROPERTIES

In the way of turkish tax legislation, landed properties are classified within the property, plant and equipment regardless of the purpose of acquisition and subjected to valuation over cost value. however, with the entry into force of investment property standards (tas 40) landed property is divided into two classes as owner-occupied property and investment property. owner-occupied property is accounted for in accordance with the standard of property, plant and equipment (tas 16). on the other hand, investment property is accounted for in accordance with the standard of investment property (tas 40). according to tas 40 standards, investment property is defined as landed property held for rent income or appreciation gain, or both. the objective of this study is to state how investment property, which is new for tax legislation, is accounted for in accordance with the tas 40.