Economy in Turkey: Withholding rate on foreign currency deposit accounts increased to 25 percent

The withholding rate on foreign currency deposit accounts has been increased to 25 percent, and the withholding exemption in KKM has been extended until the end of the year.

With the Decision of the President of the Republic published in the Official Gazette, the withholding rate applied to foreign currency deposit accounts was increased to 25 percent. The withholding exemption applied to Exchange Rate Protected Deposit (KKM) accounts has been extended until the end of the year.

Withholding (deduction from the source) means withholding tax on income tax, especially in paying salaries and wage earners’ tax debts, before the owner of the income has yet to receive it.