Whether you pay tax in Turkey — and on what — depends on one question before any other: are you a Turkish tax resident? Residents are taxed on worldwide income; non-residents only on Turkish-source income. Everything else in this guide follows from that distinction. The figures below are those in force for 2026.
Under the Income Tax Law (Gelir Vergisi Kanunu, Art. 4) you are treated as resident in Turkey — and therefore subject to "full liability" — if either of the following applies:
The law expressly excludes some people from residency even if they stay longer than six months: foreign scientists, experts, journalists and similar professionals who come for a specific, temporary assignment; people in Turkey for education, medical treatment or holiday; and those detained in Turkey involuntarily. This exception matters for posted employees and academics.
Residence permit ≠ tax residency. Holding (or not holding) a Turkish residence permit does not decide the question. Tax residency is a question of fact — where your home is and how many days you were physically in Turkey. Keep your entry/exit records; the immigration authority's travel history document is what the tax office relies on.
If you are not resident, Turkey taxes only income sourced in Turkey: a salary for work performed in Turkey, rent from Turkish property, profits of a Turkish business or permanent establishment, gains from selling Turkish assets, and Turkish-source interest and dividends. Most of this is collected by withholding at source, so many non-residents never file a Turkish return at all.
Turkey taxes individual income at progressive rates. The brackets are updated every year by the revaluation rate; the 2026 tariff (Income Tax General Communiqué No. 332) is:
| Taxable income (TRY) | Rate | Employment income band |
|---|---|---|
| 0 – 190,000 | 15% | same |
| 190,001 – 400,000 | 20% | same |
| 400,001 – 1,000,000 | 27% | 400,001 – 1,500,000 |
| 1,000,001 – 5,300,000 | 35% | 1,500,001 – 5,300,000 |
| over 5,300,000 | 40% | same |
The rates are marginal: only the part of income falling in each band is taxed at that band's rate. The part of a salary equal to the minimum wage is exempt from income tax altogether, which is why the effective rate on modest salaries is well below 15%.
Tax and social security are withheld through payroll every month; the employer files them. If you have only one Turkish employer during the year, you normally do not file a return. With two or more employers, or with a high salary from a single employer (the threshold is the top bracket limit, TRY 5,300,000 in 2026), an annual return becomes mandatory.
A specific exemption (Income Tax Law Art. 23/14) covers employees of a non-resident employer with no Turkish establishment, paid in foreign currency from abroad out of the employer's foreign earnings. If all conditions are met, the salary is exempt from Turkish income tax even for residents. Remote employees of foreign companies rely on this; the conditions are strict and the burden of proof is on you, so keep contracts and bank records. Read more in our remote worker guide.
Residential rent enjoys an annual exemption (indexed every year) below which no return is needed; above it, you declare the rent and deduct either a flat 15% lump-sum expense or actual expenses. Commercial rent paid by a company tenant suffers 20% withholding at source, which is credited on your return. Rent must be paid through a bank when it exceeds the statutory threshold — cash rent is penalised.
The company withholds 15% on distribution. For resident individuals, half of the gross dividend is exempt; the other half is added to income and taxed at the progressive rates, with the withholding credited. For non-residents, the 15% withholding — reduced under the applicable treaty — is generally final.
Bank deposit interest, bond income and investment-fund gains are largely taxed by final withholding at reduced rates that change frequently by presidential decree. Gains on Turkish shares held for more than two years (joint-stock companies) or on real estate held more than five years are exempt for individuals.
If you run a sole proprietorship or a freelance practice in Turkey, profits are taxed at the progressive rates above, quarterly advance tax applies, and social security (Bağ-Kur) contributions are due. Companies pay 25% corporate tax instead — see our company formation guide.
Turkey has income-tax treaties with more than 85 countries, including the United States, the United Kingdom, Germany, the Netherlands, France, Russia, the Gulf states and most of Asia. A treaty does three things for you: it settles which country may tax each type of income, it caps the withholding Turkey can apply to dividends, interest and royalties paid abroad, and it provides a tie-breaker when both countries claim you as resident (permanent home, centre of vital interests, habitual abode, nationality — in that order).
Treaty relief is not automatic. To benefit from a reduced treaty rate in Turkey you must present a certificate of residence from your home country's tax authority, with a certified translation, to the Turkish payer before the payment is made. Without it, the payer must withhold at the domestic rate and you are left claiming a refund.
Returns are filed electronically through the Revenue Administration's Interactive Tax Office. A foreigner needs a Turkish tax identification number — obtainable online with a passport in a few minutes — and, for anything beyond a basic return, an authorised accountant filing on their behalf. Late filing attracts an irregularity penalty; under-declared tax attracts a "tax loss" penalty of 100% of the tax plus monthly late-payment interest, although a voluntary disclosure before the tax office notices removes the penalty.
If you are resident, that income is in principle declarable in Turkey. Whether Turkish tax is actually due depends on the type of income and the treaty. Pensions, for instance, are often taxable only in the paying country under many treaties; investment income is often taxable in Turkey with a credit for foreign withholding. The right answer is treaty-specific, not a rule of thumb.
The six-month rule normally makes you resident, but the "temporary assignment" exception and the treaty's 183-day employment article may keep your foreign salary out of Turkish tax. The details of who bears the salary cost — the Turkish entity or the foreign one — decide the outcome.
Short-term letting is business income, not simple rental income, once it is regular; it requires a tourism licence, a tax registration and VAT. Many owners discover this only when a penalty notice arrives.
If you spend 183 days or less in Turkey in a calendar year and your home is not in Turkey, you are a non-resident. You are then taxed only on income from Turkish sources — for example a Turkish salary, Turkish rental income or a Turkish business — not on your worldwide income.
Yes, for tax residents. Once you are resident, income earned anywhere in the world is in principle taxable in Turkey, with credit for foreign tax paid and subject to the double-taxation treaty between Turkey and the source country. Turkey has treaties with more than 85 countries.
Progressive rates from 15% to 40%. For 2026: 15% up to TRY 190,000; 20% up to TRY 400,000; 27% up to TRY 1,000,000 (TRY 1,500,000 for employment income); 35% up to TRY 5,300,000; and 40% above that. The thresholds are adjusted for inflation every year.
The annual income tax return for a calendar year is filed in March of the following year, with the tax payable in two instalments in March and July. Employees with a single Turkish employer normally do not file a return, because tax is withheld through payroll.
Buying is subject to a title-deed fee (currently 4% of the declared value, in practice often shared between buyer and seller) and, for new builds bought from a developer, VAT. Owning is subject to annual property tax paid to the municipality. Renting the property out creates Turkish rental income that must be declared.
A 20-minute call is usually enough to tell you whether you are a Turkish tax resident, what you owe and what you can legitimately avoid paying twice.
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