Taxes in Turkey
Turkey has a progressive income tax system. Understanding your tax residency status is crucial for expats and digital nomads.
Tax Residency
You are a Turkish tax resident if:
- You spend 183+ days in Turkey in a calendar year
- Your permanent home is in Turkey
- Your center of vital interests (family, business) is in Turkey
Residents: Pay tax on worldwide income
Non-residents: Pay tax only on Turkish-source income
Income Tax Rates (2026)
| Income (TRY) | Rate |
|---|---|
| 0 - 110,000 | 15% |
| 110,001 - 230,000 | 20% |
| 230,001 - 580,000 | 27% |
| 580,001 - 3,000,000 | 35% |
| 3,000,001+ | 40% |
Note: Brackets are in Turkish lira and adjusted annually for inflation
Key Tax Types
Income Tax (Gelir Vergisi)
- Progressive rates 15-40%
- Employment income withheld by employer
- Self-employed file annually
Corporate Tax
- Standard rate: 25%
- Applies to Turkish-registered companies
VAT (KDV)
- Standard rate: 20%
- Reduced: 10% (basic food, tourism)
- Super-reduced: 1% (some essentials)
Property Tax (Emlak Vergisi)
- Residential: 0.1-0.2% of assessed value annually
- Commercial: 0.2-0.4%
- Paid to local municipality
For Digital Nomads
Working remotely for foreign clients:
- If non-resident: No Turkish tax on foreign-source income
- If resident (183+ days): Worldwide income taxable
- Consider structuring to maintain non-resident status
Income from Turkish sources:
- Always taxable regardless of residency
- Includes rent from Turkish property, Turkish clients
Social Security
Employed in Turkey:
- Employee contribution: 14% of salary
- Employer contribution: 20.5%
- Provides healthcare and pension benefits
Self-employed:
- Must register and contribute to BAĞ-KUR system
- Minimum contributions based on reference income
Tax Treaties
Turkey has double taxation agreements with 80+ countries including:
- United States
- United Kingdom
- Germany, France, most EU
- Canada, Australia
These can reduce or eliminate double taxation and provide credits.
Filing and Payment
Deadlines:
- Annual return: March 1-31 (for previous year)
- Quarterly advance payments for self-employed
Filing:
- Online through the GİB (Revenue Administration) website
- Turkish language (may need accountant)
- English summaries available for planning
Avoiding Common Mistakes
- Track your days - 183-day threshold is strict
- Keep records - Foreign income documentation
- Consider timing - Arrivals/departures near year-end matter
- Get professional help - Turkish tax law is complex
- Don't ignore it - Penalties for non-compliance are serious
Pro Tips
- •Track your days precisely - 183+ days makes you a tax resident on worldwide income
- •Non-residents working remotely for foreign clients owe no Turkish tax
- •Use a Turkish accountant (mali müşavir) - tax law is complex and in Turkish
- •Check your home country's tax treaty with Turkey to avoid double taxation
- •Property tax is low but must be paid to your local belediye (municipality)
Have questions about taxes in Turkey?