Practical Tax Information


Income Tax Scale (2006)
In accordance with Article 103 of the Income Tax Law, the tax scale effective for calendar year 2007 revenues is: 

15 percent up to 7.800 YTL

1.170 YTL for 7.800 YTL of 19.800 YTL, and 20 percent for the rest

3.570 YTL for 19.800 YTL of 44.700 YTL, and 27 percent for the rest

10.293 YTL for 44.700 YTL of over 44.700 YTL, and 35 percent for the rest will be taxed."  

Corporations Tax Rate : 20 percent (from 01.01.2006)

Interim Tax Rates
For Income Tax                : 15 percent

For Corporations Tax        : 20 percent (from 01.01.2006)

Limit of Depreciation

600 YTL for YEAR 2008

560 YTL for YEAR 2007

The entire fixed assets under these values can be registered as cost.
For those which are integrity on economic and technical basis, this limit shall be considered in full. (V.U.K 313 ).

Tax Issue Limit
YEARS                       EXCEPTION AMOUNT  
2008                               600 YTL

2007                               560 YTL

The invoice shall be issued for the amounts exceeding these values. However, if the customer requests, then the invoice shall obligatorily be issued regardless of the amount.

The invoice should be issued within minimum 7 days from the delivery of the date the good is delivered or the service is given.

The invoices, which are not issued in that period, shall be regarded as not issued at all.

Real Estate Tax Rates
                         Normal Locations       Metropolises and 
                                                        Contiguous Zones
Housing                  1 per thousand         2 per thousand

Workplace             2 per thousand         4 per thousand

Land                       3 per thousand         6 per thousand

Land                       1 per thousand         2 per thousand

Exception Amounts for Housing Rent Income
YEARS                        EXCEPTION AMOUNTS           
2008                             2.400  YTL

2007                             2.300  YTL

In the calendar year, no declaration shall be given if the housing rent income of Real Estate Capital Income owners with no Commercial, Agricultural and Professional income exceeds the exception amount.

Minimum Salary Amounts
Years           For older than 16 Years of Age        For younger than 16 Years of Age
2008                       638,70 YTL                                      540,60 YTL

2007                       585,00 YTL                                      491,40 YTL

Unemployment Insurance Premium
From 01.01.2002:
1 percent from the Employee, 2 percent from the Employer is deducted

    SERVICE PERIOD                                      NOTICE PERIOD      PAY AMOUNT
For employment less than 6 months                     2 Weeks            2 Weeks Salary

For employment from 6 months to 1,5 Years       4 Weeks           4 Weeks Salary

For employment from 1,5 Years to 3 Years          6 Weeks           6 Weeks Salary

For employment more than 3 Years                      8 Weeks            8 Weeks Salary

The mentioned periods are the minimum periods, and they can be increased through contract. These periods are binding both for the employer and employee. The employer may terminate the employees' contract through cash payment of the employer subject to the notice period.

Minimum Annual Employee Leave Periods
Service Period                                  
From 1 to 5 years (including 5 years)       14 work days

From 5 Years to 15 Years                         20 work days

15 Years (included) and over                    26 work days

For 18 years old and younger employees and 50 years old and older employees Minimum 20 work days

Certain Stamp Duty                    Rates
For Salaries                                 6 per thousand
Lease contracts                           1,5 per thousand

Annual Income Tax                        23,70 YTL

Corporations Tax Statement       26,30 YTL

Withholding Tax Return Statement 15,10 YTL

VAT Statements                     15,10 YTL

Insurance Premiums Statements
Given to Social Security Corporations  11,20 YTL

In How Many Days Should the Applications Against Tax Penalties be Made?
Application should be made to the court within 30 days for penalty notices, and 7 days for payment orders.

Attantion please ! This web pages aims only to give information about turkish tax system. This pages provides a general overview of tax incentives in Turkey. No rights may be derived from it.