Examination of the Relationship Between Money Laundering and Tax Crimes Based on Financial Action Task Force (FATF) Standards: a Stocktaking for Turkiye

Abstract

Money laundering and tax crimes are financial crimes that have considerable costs to society, and there are notable interconnections between them. This study aims to examine the contribution of the measures introduced against money laundering by the Financial Action Task Force (FATF) to tax compliance and combating tax crimes and to evaluate the situation in T & uuml;rkiye. The conceptual framework regarding these crimes and the connections between them are established in this context. The effects of the measures introduced against money laundering on tax compliance and crimes based on FATF standards are investigated. Finally, the situation in T & uuml;rkiye is examined and analysed. The study shows that customer identification and reporting of suspicious transactions can contribute significantly to identifying taxpayers, transactions, and income that should be taxed and detecting tax evasion. Still, this potential is not sufficiently utilised in our country.