Table of Contents
- Why does the expense process with the accountant stall every month?
- What expense package does the accountant expect each month?
- How do you set up a monthly expense routine?
- Why flag KKEG at entry rather than at year-end?
- What are the benefits of integrating expense software with your accountant?
- How do you choose expense software that works with your accountant?
- Conclusion
In many companies, month-end looks the same: employees send photos of receipts over WhatsApp, the accounting team chases missing documents, and the mali müşavir (the certified public accountant most Turkish companies work with) starts on a messy folder a few days before the tax return is due. This article describes the Turkish setup: the rules on KKEG (non-deductible expenses) and VAT mentioned here are Turkish rules. It shows how SMEs can build an expense process with their external accountant that runs smoothly: which package to prepare every month, a monthly calendar, who approves what, and why KKEG should be flagged at entry.
Why does the expense process with the accountant stall every month?
The expense process with the external accountant usually stalls because documents arrive late, incomplete and scattered; the problem is rarely the accounting, it is the collection stage. Typical symptoms:
- Receipts arrive as photos over WhatsApp or email; some are illegible, some never arrive.
- People try to remember afterwards which department or project a purchase belonged to.
- Corporate card statement lines are matched to receipts by hand at month-end.
- Expenses of employees who received an advance are tracked in a separate spreadsheet, and the advance settlement is delayed.
- KKEG items are picked out retrospectively at year-end.
The result is a month that closes late and a constant back-and-forth of questions with the accountant. A routine that delivers the same package on the same date every month removes most of that back-and-forth.
What expense package does the accountant expect each month?
Every month the external accountant expects a complete package covering documents, the VAT split, KKEG-flagged items, cost centres, advance settlements and the card statement match. The content varies by company, but the basic skeleton looks like this:
| Package item | Content | Why it is needed |
|---|---|---|
| Documents | Legible copies of receipts, invoices, e-Fatura and e-Arşiv documents, matched to the expense line | They support the expense entry; an undocumented expense carries a KKEG risk |
| VAT split | VAT rate and amount for each line, amount excluding VAT | To calculate deductible input VAT correctly |
| KKEG-flagged items | Lines flagged as KKEG and the split of partly non-deductible ones | To track the amount to be added back to the tax base |
| Cost centre | Department, branch or project for each expense | For cost allocation and management reporting |
| Advance settlements | Advance paid, documented expenses and remaining balance | To close the employee advance account |
| Card statement match | Every corporate card statement line matched to its document, plus a list of unmatched lines | To record card spending completely |
Preparing this package the same way every month shortens the accountant's review and cuts down "where is that receipt?" questions. When the receipt archive is digital and linked to the expense line, finding a document months later also becomes easier.
How do you set up a monthly expense routine?
A monthly expense routine is built on a calendar in which expenses are collected continuously during the month, there is a short closing window at month-end, and the package is handed to the accountant on a fixed date. An example calendar follows; adapt the dates to your tax filing calendar and to what you have agreed with your accountant:
- During the month: The employee uploads the receipt right after the purchase, and the manager approves weekly. KKEG and cost centre are chosen at entry.
- Last working day of the month: Employees get a reminder about missing receipts, and the card statement match starts.
- First working days of the new month: The accounting team closes unmatched card lines, open advances and missing documents.
- Handover day: The package goes to the accountant, and the transfer to the accounting software happens the same day.
- The following few days: The accountant's questions are collected in one list and answered; corrections are closed before they roll into the next month.
Who approves what? Clear roles keep the routine from depending on one person:
- Employee: Responsible for the receipt being correct and uploaded on time.
- Manager: Approves that the purchase was a business need.
- Accounting team: Checks the document type, VAT split, cost centre and KKEG flag, and runs the transfer.
- External accountant: Confirms the tax classification and the amounts that go into the tax return.
Why flag KKEG at entry rather than at year-end?
When KKEG is flagged at entry, the decision is made while the context of the purchase is still fresh, and there is no need to sift through hundreds of lines retrospectively at year-end. A year-end clean-up takes time and can lead to errors in the tax base because items are missed.
A practical approach:
- Set up a category-level warning for typical KKEG items (for example administrative fines and undocumented spending).
- For partly non-deductible items, show the KKEG amount separately; in the accounting entry these items are split into an expense part and a KKEG part.
- Send the KKEG list to the accountant each month as a separate sheet in the package.
In Masraff, an expense can be flagged as KKEG; depending on a company setting, the flag either only shows a warning or stops the expense from moving forward. On transfer to the ERP, the line can be split into expense and KKEG parts. To catch KKEG items at entry, have a look at our free tools. The legal framework for KKEG is Law No. 5520 on Corporate Income Tax and Law No. 193 on Income Tax; always confirm with your mali müşavir which items count as KKEG.
What are the benefits of integrating expense software with your accountant?
Expense management software makes it easier to prepare the accountant's package every month in the same structure, complete and already checked. The benefits usually fall under four headings:
- One receipt archive: Documents are stored linked to the expense line instead of being scattered across WhatsApp and email.
- Classification at entry: Category, cost centre and KKEG are chosen when the money is spent; nobody guesses at month-end.
- Rule-based account codes: The expense account is determined by mapping rules based on details such as category and cost centre; the same purchase lands in the same account every month.
- Shorter close: The accounting team spends its time checking rather than collecting documents.
"Integration" here does not have to mean connecting the accountant to a separate system. For most SMEs, the real gain is that the accounting records the accountant works on are created in an orderly, rule-based way.
How do you choose expense software that works with your accountant?
Expense software that makes working with your accountant easier is chosen by how well it fits your accounting software, whether it can split VAT and KKEG at entry, and how flexible its account code rules are. Ask these questions during evaluation:
- How does it work with our accounting software or ERP, and how is the transfer done?
- Can an expense be flagged as KKEG, and can a partly non-deductible amount be split out?
- Can the account code be set by rules based on category, cost centre and company?
- Can corporate card statements and advances be matched with expenses?
- Can our accountant easily get the reports and documents they need?
- How easy is it for employees to upload receipts? A system nobody uses cannot fill the receipt archive.
Bring your accountant into the process before you choose; deciding the format of the package together speeds up the switch.
Conclusion
The expense process with your mali müşavir calms down once it becomes a routine in which the same package is delivered on the same date every month. Keeping documents in one receipt archive, separating VAT and KKEG at entry and making approval responsibilities clear shortens the month-end close. See how we work with accounting teams and external accountants on the Masraff for accountants page, and the whole expense process on the expense management page.