Income Tax in Türkiye 2025
Understanding the Turkish Tax System
The Turkish tax system is transparent and modern. A proper understanding of tax laws not only prevents fines, but also Smart financial planning It helps.
1. 💰 Income tax rates 2025
| Annual income base (lira) | Tax rate |
|---|---|
| Up to 120,000 | 15% |
| 120,001 – 300,000 | 20% |
| 300,001 – 1,200,000 | 27% |
| Above 1,200,000 | 35% |
💡 Note: These rates are for incomes Career and legal It applies.
2. 🏢 Salary Tax (Ücretliler)
- Deduction from source:The employer automatically deducts
- Basic exemption: 60,000 liras annually
- Deductions: Insurance (14%), retirement (9%)
Calculation example:
Monthly income: 50,000 liras
Annual income: 600,000 liras
Annual tax: about 75,000 liras
3. 💼 Freelance Business Tax (Serbest Meslek)
- Annual return (in April every year)
- Prepayment (25% every quarter)
- Acceptable deductions: Documented business expenses
4. 🏠 Property Income Tax
| Case | Tax rate |
|---|---|
| Rent | 15% – 35% (deducted directly from the tenant) |
| Property sale | 0% – 40% (depending on the duration of ownership) |
5. 📅 Tax Schedule
| Case | Legal deadline |
|---|---|
| Annual return | March 1-25 |
| Advance payments | March, June, September |
| Rental tax | Every month, until the end of the following month |
6. ✅ Important exemptions
- Foreign income: Income from outside Türkiye is exempt.
- Dividends: In Turkish tax-exempt companies
- Retirees: Special exemptions for the elderly
7. ⚠️ Tax penalties
- Delay in payment: 2.5% monthly
- Not registered: 1,500 liras
- Failure to submit a declaration: Up to 11,000 liras
8. ❓ Frequently Asked Questions
Is income from Iran taxable in Türkiye?
Answer: No, income earned outside of Türkiye is tax-exempt.
What is the minimum taxable income?
Answer: 120,000 liras annually.
What is the difference between resident and non-resident taxes?
Answer: Turkish residents pay taxes on all worldwide income.
How much is the VAT?
Answer: Usually 18%, but for some goods it is 8%.
✅ Conclusion: Smart financial planning
By properly understanding the Turkish tax system, you can:
- Avoid fines
- Optimize your taxes
- Have more detailed financial planning.
