Taxes in Turkey
Taxes in Turkey are relatively low in comparison to Western European countries.
Transaction and registration taxes
Stamp duty at 4% of the property’s declared value is charged for transferring property rights and payable upon receipt of the Turkish title deed (tapu).
All property owners in Turkey are subject to municipal tax which varies from 0.1% to 0.6% depending on the type of real estate and based on the cadastral value.
|*The following zones are considered metropolitan municipalities
and charge double the standard tax rate:
Adana, Ankara, Antalya, Bursa, Diyarbakir, Eskisehir (Eskişehir),
Erzurum, Gaziantep, Istanbul, Izmir, Kayseri,
Kocaeli, Konya, Mersin and Samsun.
Real estate tax is calculated according to the minimum value of a square metre in the district, depending on whether it is a metropolitan municipality, and minimum land value. On average, it does not exceed €70 per annum for apartments and €100 for houses. Payments are made to the local authorities in two equal installments (half in May, half in November). Owners are exempt from annual real estate tax during the first four years after purchase.
There is also an annual waste removal tax set by municipal authorities according to the location and property size, which does not usually exceed TRY 90 (Turkish Lira) or €30 per year.
Capital gains, inheritance and gift taxes
Capital gains tax
Inheritance tax varies from 1% to 10% and gift tax from 10% to 30%. The rates are determined by the value of the transferred property.
Turkish citizens pay inheritance and gift taxes on property received in any country. Foreign residents pay these taxes on property received in any country from Turkish citizen, as well as on property located in Turkey and previously owned by foreign citizens (residents
Income and corporate taxes
Property rental income tax
Corporate tax is 20%. Dividend tax is 10%.
Disclaimer: the information in the above article is for reference and may be subject to change over time. Persons interested in exact calculations should contact a certified tax specialist in this country before purchasing property.