Asset Amnesty in Turkey: 20-Year Tax Exemption for Bringing Foreign Earnings to TurkeyTitle
Key provisions of the new tax regulation
A law amending several regulations has been published in the Official Gazette, introducing significant tax and financial adjustments, including an asset amnesty framework.
20-year income tax exemption on foreign earnings
Real persons considered tax residents in Turkey will not be subject to income tax for 20 years on earnings obtained abroad, provided they had no residence or tax liability in Turkey during the three years preceding their return to Turkey.
Extended tax deferral and payment terms
The maximum installment period for deferrals of public receivables has been increased from 36 months to 72 months, while the unsecured deferral limit has been raised to 1 million Turkish lira.
Tax incentives for qualified service centers
Salaries of qualified personnel employed in qualified service centers will benefit from income tax exemption for the portion not exceeding three times the gross minimum wage.
Asset declaration and protection mechanism
Individuals and legal entities may declare cash, gold, foreign currency, securities, and other capital market instruments held abroad until July 31, 2027. Declared assets will not be subject to tax audits or tax assessments.
Incentives for Istanbul Financial Center participants
The corporate tax reduction of 100% applied to institutions operating in the Istanbul Financial Center has been extended until 2047. Additionally, fee exemptions related to establishment and licensing have been increased from 5 years to 20 years.
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