Transcript Slayt 1

This project is co-financed by the European
Union and the Republic of Turkey
Bölgesel Rekabet Edebilirlik Operasyonel Programı’nın
Uygulanması için Kurumsal Kapasitenin Oluşturulmasına
Yönelik Teknik Yardım
Technical Assistance on Institutional Building for the
Implementation of RCOP in Turkey
Financial Management
17th April, 2013
REPUBLIC OF TURKEY
MINISTRY OF SCIENCE,
INDUSTRY AND TECHNOLOGY
1
This project is co-financed by the European
Union and the Republic of Turkey
CONTENT
1. Financial Management Actors
2. General Overview to IPA Funds
3. Flow of Funds and Disbursement Rules
4. Financial Management of Contracts
5. Tax Issues
REPUBLIC OF TURKEY
MINISTRY OF SCIENCE,
INDUSTRY AND TECHNOLOGY
2
This project is co-financed by the European
Union and the Republic of Turkey
1. FINANCIAL MANAGEMENT
ACTORS
REPUBLIC OF TURKEY
MINISTRY OF SCIENCE,
INDUSTRY AND TECHNOLOGY
3
This project is co-financed by the European
Union and the Republic of Turkey
Institutions/bodies for Financial
Management
• European Commission (EC)
• National Authorizing Officer (NAO)
• National Fund (NF)
• Operating Structure/Contracting Authority (OS/CA)
• End Recipient of Assistance (ERA)
• Controctors/Consultant
REPUBLIC OF TURKEY
MINISTRY OF SCIENCE,
INDUSTRY AND TECHNOLOGY
4
This project is co-financed by the European
Union and the Republic of Turkey
2. GENERAL OVERVIEW TO IPA
FUNDS
REPUBLIC OF TURKEY
MINISTRY OF SCIENCE,
INDUSTRY AND TECHNOLOGY
5
This project is co-financed by the European
Union and the Republic of Turkey
Budget Allocation (IPA) 2007-2013
Instrument for Pre- Accession Assistance
Candidate Status
 Croatia (Hırvatistan - 1




Temmuz 2013’de tam üye)
Macedonia (Makedonya)
Turkey (Türkiye)
Iceland (İzlanda)
Montenegro (Karadağ)
REPUBLIC OF TURKEY
MINISTRY OF SCIENCE,
INDUSTRY AND TECHNOLOGY
Potential candidate status
 Albania, Bosnia&
Herzegovina (Arnavutluk,
Bosna Hersek)
 Serbia, Kosovo (Sırbistan,
Kosova)
This project is co-financed by the European
Union and the Republic of Turkey
Budget Allocation (IPA) 2007-2013
Instrument for Pre- Accession Assistance
Total Budget for
IPA
Amount (EUR)
11.468.000.000
Turkey
4.874.000.000
Component III
1.802.000.000
RCOP
480.387.185
REPUBLIC OF TURKEY
MINISTRY OF SCIENCE,
INDUSTRY AND TECHNOLOGY
Yearly Budget Allocation for RCOP
This project is co-financed by the European
Union and the Republic of Turkey
Year
EU Contribution
(EUR) %85
National
Contribution
(EUR) %15
Total EUR
%100
2007
41.900.000
7.394.118
49.294.118
2008
43.500.000
7.676.471
51.176.471
2009
54.800.000
9.670.588
64.470.588
2010
71.430.000
12.605.294
84.035.294
2011
88.020.000
15.532.941
103.552.941
2012
89.016.598
15.708.811
104.725.409
2013
91.720.588
16.185.986
107.906.574
84.774.209
565.161.395
REPUBLIC OF TURKEY
TOTAL
MINISTRY OF
SCIENCE,
480.387.186
INDUSTRY AND TECHNOLOGY
Advance
payment
%30
64.275.000 EUR
This project is co-financed by the European
Union and the Republic of Turkey
3. FLOW OF FUNDS AND
DISBURSEMENT RULES
REPUBLIC OF TURKEY
MINISTRY OF SCIENCE,
INDUSTRY AND TECHNOLOGY
9
Flow of Funds for TR Contribution
This project is co-financed by the European
Union and the Republic of Turkey
• Government
Budget
(RCOP)
Ministry of
Science, Industry
and Technology
• Releasing of
Budget
Ministry of
Finance
RCOP
• Request of
National
Contribution
from OS
National Fund
• Transfer of
National
Contributi
on to Subacc.
REPUBLIC OF TURKEY
MINISTRY OF SCIENCE,
INDUSTRY AND TECHNOLOGY
10
Flow of Funds for EU Contribution
This project is co-financed by the European
Union and the Republic of Turkey
NF
• IPA
Funds
EC
• Advance
• Interim
• Final
Payment
Contractors
• Transfer of
EU
Contributio
n to
sub.acc.
• Request of
payment
RCOP
REPUBLIC OF TURKEY
MINISTRY OF SCIENCE,
INDUSTRY AND TECHNOLOGY
11
Disbursement Rules of IPA Funds
This project is co-financed by the European
Union and the Republic of Turkey
n+3 Rules; by 31 December of the third year following year n
being the one in which the budget commitment should be used
for the purpose of pre-financing or interim payments.
Pre-financing (for OP): 30% of the total IPA contribution for the
three most recent years.
m+15 rules; The total amount paid as pre-financing shall be
reimbursed to the Commission with all interest accrued if no
payment application for the programme concerned is sent within
15 months of the date on which the Commission pays the first
pre-financing amount.
REPUBLIC OF TURKEY
MINISTRY OF SCIENCE,
INDUSTRY AND TECHNOLOGY
This project is co-financed by the European
Union and the Republic of Turkey
4. FINANCIAL MANAGEMENT OF
CONTRACTS
REPUBLIC OF TURKEY
MINISTRY OF SCIENCE,
INDUSTRY AND TECHNOLOGY
13
Responsibilities of the Finance
Division
This project is co-financed by the European
Union and the Republic of Turkey
 Expenditure Forecast,
 Management of flow of funds (request for funds, allocation of
national contribution, transfer of national contribution to the NF )
 Payments (check and keep of letter of guarantee, preparation of
payment dossier, read&approved by ERA’s, invoice check, execution
of payment, transfer of payment order, releasing of guarantee,)
 Reports to the NF (yearly expenditure forecast, monthly financial
report, statement of expenditure, financial reports)
 Tax issues (VAT exemption form, tax ruling, tables for MoF)
REPUBLIC OF TURKEY
MINISTRY OF SCIENCE,
INDUSTRY AND TECHNOLOGY
14
Responsibilities of the Finance
Division
This project is co-financed by the European
Union and the Republic of Turkey
 Accounting (data entries, approvals of data entry, reconciliation,
back-up),
 Participation to kick off meeting, provisional and final acceptances
visits of supply and works contracts,
 Participation to Monthly Management Meetings of service and works
contracts.
REPUBLIC OF TURKEY
MINISTRY OF SCIENCE,
INDUSTRY AND TECHNOLOGY
15
Types of Contracts
This project is co-financed by the European
Union and the Republic of Turkey
Service: Procurement of consultancy, research, know-how
and training
Supplies: Procurement of equipment, materials
Works: infrastructure, superstructure and other engineering
works
REPUBLIC OF TURKEY
MINISTRY OF SCIENCE,
INDUSTRY AND TECHNOLOGY
16
Payment Types of Contracts
This project is co-financed by the European
Union and the Republic of Turkey
Type of
Contract
Advance
Interim
Final (balance)
Fee based
Service
%20
6 monthly installment
(up to %90)
% 10
Global Price
Service
% 40
N/a
%60
FwC
%30
N/a
%60
%70
%10
Supply
%40
N/a
%60
Works
%10
After 3-5 months monthly
progress payment
%5 retention money)
%2,5 Provisional
%2,5 Final acceptance
REPUBLIC OF TURKEY
MINISTRY OF SCIENCE,
INDUSTRY AND TECHNOLOGY
17
SERVICE CONTRACTS
This project is co-financed by the European
Union and the Republic of Turkey
Budget items of the fee-based service contract:
 Man-day/Fees (Adam günü/Ücret)
 Incidentals (Arizi Bütçe)
 Lump Sums (Götürü Bedel Aktiviteler) (if any)
 Expenditure Verification (Harcama Teyidi)
REPUBLIC OF TURKEY
MINISTRY OF SCIENCE,
INDUSTRY AND TECHNOLOGY
18
Required documents for fee based
service contracts payments
This project is co-financed by the European
Union and the Republic of Turkey
Advance
Interim
Final
•
•
•
•
•
•
•
Signed contract
Invoice / request for prefinancing payment
Financial guarantee
* The consultant are not
obliged to ask for a/p
•
•
•
•
•
•
Invoice
Detailed list of expenses for
fees and incidentals
Interim progress report
(financial and technical.
Copies of Time sheets for the
related period
Incidental expenditure
approvals,
STE, NKE approvals,
Working at weekend or
nationals holidays approvals.
Expenditure Verification Report
Within the 30 days of receipt Within the 60 days of receipt of
by the CA.
REPUBLIC OF TURKEYinvoice accompanied by an interim
MINISTRY OF SCIENCE,
progress report by the CA.
INDUSTRY AND TECHNOLOGY
•
•
•
•
•
•
Invoice
Detailed list of expenses for
fees and incidentals
Final report
Copies of Time sheets for the
related period
Incidental expenditure
approvals,
STE, NKE approvals,
Working at weekend or
nationals holidays approvals.
Expenditure Verification
Report
Within the 60 days of receipt of
invoice accompanied by the final
progress report by the CA.
19
Required documents for global price
service contracts payments
This project is co-financed by the European
Union and the Republic of Turkey
Advance
Final
Signed contract
Invoice / request for pre-financing
payment
Financial guarantee
Invoice
Final report (subject to the approval)
* The consultant are not obliged to ask for
a/p
Within the 30 days of receipt by the CA.
Within the 60 days of receipt of invoice
accompanied by the final progress report by
the CA.
REPUBLIC OF TURKEY
MINISTRY OF SCIENCE,
INDUSTRY AND TECHNOLOGY
20
Documents to be Approved for Service Contracts
This project is co-financed by the European
Union and the Republic of Turkey
All the approvals should be received from the
relevant authority prior to the implementation
Documents
ERA
Invoice
1. √
2. √
Timesheets
1. √
STE Approval Request
Non-key expert Approval Request
1. √
2. √
Incidental Budget Approval
1. √
2. √
Progress /final reports
1. √
2. √
REPUBLIC OF TURKEY
Weekend/national/public
MINISTRY OF SCIENCE, holiday approval
INDUSTRY AND TECHNOLOGY
OS
1. √
21
WORKS CONTRACTS
This project is co-financed by the European
Union and the Republic of Turkey
Budget items of works contracts:
 Permanent works (construction, electrical, mechanical
works)
 Contingency (%10 of the permanent works)
REPUBLIC OF TURKEY
MINISTRY OF SCIENCE,
INDUSTRY AND TECHNOLOGY
22
Required documents for works contracts
payments
Advance
Interim
Final
•
•
Signed Contracts
Invoice/Request of advance
payment
• Interim Payment Certificate (0)
• Guarantee letter
• Performance Security
(%10 of the accepted
contract amount)
• Insurance Policy (if
applicable)
• SGK Apply Form
* The consultant are not obliged
to ask for a/p
•Invoice
•Interim Payment Certificate
•Progress report (financial
and technical.
•Certificate of origin
(materials used for
construction)
• Insurance policy payment
receipt
•Invoice
• Final Payment Certificate
• Final report
• Discharge (14.12)
• Certificate of Provisional
Acceptance
• Certificate of Origin
• «Receipt of Discharge»
from SGK
Within the 56 days of receipt of
IPC 0 by the Supervisor (ideally 28
days for approval
of Supervisor, 28
REPUBLIC OF TURKEY
MINISTRY
SCIENCE,
days for payment
ofOFCA)
Within the 77 days of receipt Within the 77 days of receipt
of Interim Payment Certificate of final Payment Certificate
by Supervisor (ideally 28 days by of CA
for approval of Supervisor, 49
days for payment of CA)
This project is co-financed by the European
Union and the Republic of Turkey
INDUSTRY AND TECHNOLOGY
23
This project is co-financed by the European
Union and the Republic of Turkey
Documents to be Approved for Works Contracts
All the approvals should be received from the
relevant authority prior to the implementation
Documents
ERA
Invoice
1. √
2. √
Interim Payment Certificate (IPC)
OS
1. √
Progress /final reports
1. √
2. √
Provisional/Final Acceptances
1. √
2. √
REPUBLIC OF TURKEY
MINISTRY OF SCIENCE,
INDUSTRY AND TECHNOLOGY
24
SUPPLY CONTRACTS
This project is co-financed by the European
Union and the Republic of Turkey
Budget items of works contracts:
 Equipment
REPUBLIC OF TURKEY
MINISTRY OF SCIENCE,
INDUSTRY AND TECHNOLOGY
25
Required documents for supply
contracts payments
This project is co-financed by the European
Union and the Republic of Turkey
Advance
Final
• Signed Contracts
• Invoice/Request of advance
payment
• Guarantee letter
•Invoice
•Certificate of Provisional Acceptance
•Certificate of Origin (for each item)
•Copy of warranty
•Copy of Inspection test certificate
* The consultant are not obliged to
ask for a/p
Within the 30 days of receipt by the CA.
Within the 60 days of receipt of invoice
accompanied by the supporting documents by
the CA.
REPUBLIC OF TURKEY
MINISTRY OF SCIENCE,
INDUSTRY AND TECHNOLOGY
26
This project is co-financed by the European
Union and the Republic of Turkey
Documents to be Approved for Supply
Contracts
All the approvals should be received from the
relevant authority prior to the implementation
Documents
ERA
Invoice
1. √
2. √
Provisional / Final Acceptances
1. √
OS
2. √
REPUBLIC OF TURKEY
MINISTRY OF SCIENCE,
INDUSTRY AND TECHNOLOGY
27
This project is co-financed by the European
Union and the Republic of Turkey
The role of the End Recipient of
Assistance (ERA) for invoice approval
 Approving the copy of invoice/s “Read and Approved” in
technical terms by filling the checklist (Annex 4) which will
be sent to ERA with the copy of the invoice stamped ‘Read
and Approved’ by the Contracting Authority. ERA should
approve the invoice within 5 calendar days following the
receipt of invoice by the ERA. If “Read and Approved” is not
received from the ERA in 5 calendar days following the
receipt of invoice by the ERA and in the absence of any
comments within that period they will be considered to be
tacitly approved.
REPUBLIC OF TURKEY
MINISTRY OF SCIENCE,
INDUSTRY AND TECHNOLOGY
This project is co-financed by the European
Union and the Republic of Turkey
5. TAX ISSUES
REPUBLIC OF TURKEY
MINISTRY OF SCIENCE,
INDUSTRY AND TECHNOLOGY
29
TAX REGULATIONS
This project is co-financed by the European
Union and the Republic of Turkey
 To approve documents according to the IPA General Tax
Exemption Communique for IPA Framework Agreement No.1
introduced by the Ministry of Finance and its annexes for
Attachments: 1/a, 7, 8,10,.
 Please see the “Tax Exemption Guide for EU Financial
Aid” published by Revenue Administration under the below
link:
http://www.gib.gov.tr/fileadmin/beyannamerehberi/abmaliyardim_
rehberi.pdf
REPUBLIC OF TURKEY
MINISTRY OF SCIENCE,
INDUSTRY AND TECHNOLOGY
30
Documents to be Approved by ERA
This project is co-financed by the European
Union and the Republic of Turkey
Responsibilities and duties of the ERA related to financial
implementation and tax regulations are as follows;
 To
approve the Contracts between the Contractor and
supplier/service provider for the VAT exemption for the purchases
above 2.000 TL and list (Ek-7) of the contracts/purchases above
2000 TL in three monthly basis;
 To approve the list (Ek-8) for the purchases of contractors below
2.000 TL in three monthly basis;
REPUBLIC OF TURKEY
MINISTRY OF SCIENCE,
INDUSTRY AND TECHNOLOGY
31
Documents to be Approved by ERA
This project is co-financed by the European
Union and the Republic of Turkey
 To approve (Ek-1/a) “List of goods to be imported (İthal
Edilecek Mallar Listesi)” prepared by Contractor,
 To approve the list (Ek-10) of goods purchased with “Special
Compsumption Tax”
REPUBLIC OF TURKEY
MINISTRY OF SCIENCE,
INDUSTRY AND TECHNOLOGY
32
This project is co-financed by the European
Union and the Republic of Turkey
Thank you ...
REPUBLIC OF TURKEY
MINISTRY OF SCIENCE,
INDUSTRY AND TECHNOLOGY
33