Property Taxes in Turkey

Property Taxes in Turkey


Buying property in Alanya is becoming an increasingly popular investment option for foreign investors. Someone buys an apartment for a seasonal holiday, someone buys an apartment for renting and receiving october income, and someone changes the country of residence and moves to our sunny hospitable city for permanent residence.

No matter what purpose you buy a property for in Alanya, you should be prepared that in addition to the cost of square meters, you will have a tax liability to the state of Turkey both when buying and when using it further, or in other transactions related to your property, in addition to the cost of square meters.

I must say that with good liquidity of housing in Alanya, the tax policy of the Republic of Turkey is quite loyal, and property taxes are much lower than in many other countries.

So, what property taxes are stipulated by the laws of Turkey:

Property purchase tax: It is calculated on the basis of the cadastral value of the property, which is determined by an independent expert, and this is 4% of the cadastral value.

Annual property tax: It is also 0.2% for housing in Alanya, calculated according to the cadastral value specified in the Title Deed. November may be paid until the end of May and until the end of November, or you can pay in two pieces with an amount.

Property tax on rent: calculated on the basis of earnings for the year:
up to 3 thousand 800 TL tax is not charged,
from 3 thousand 800 TL to 13 thousand TL - 15 TL%,
From £13,000 to £30,000 - 20%,
From 30,000 TL to 70,000 TL - up to 27%,
from 70 thousand TL to 35%.

Income tax on the sale of real estate: it is also determined by the amount of income from the sale:
up to 11 thousand TL tax is not charged,
From £ 11,000 to £ 13,000 - 15%,
From £13,000 to £30,000 - 20%,
From 30,000 TL to 110,000 TL - up to 27%,
Over £ 110,000 - 35%.

* This tax is paid by individuals who enter into the ownership of the property (who receive the Tapa on their behalf). If you are an investor and you are selling your property with a rights assignment (you do not have a title deed in your own name), then you can avoid this tax.

** you are not subject to this tax during the sale of a property that you have owned for more than 5 years.

Inheritance and Gift Tax: The amount is calculated according to the value established in the mandatory independent peer review, that is, the cadastral value:
Up to 380,000 TL - 1%,
From 380,000 TL to 900,000 TL - 3%,
From 900,000 TL to 1 900,000 TL - 5%,
From 1 900 000 TL to 3 600 000 TL - 7%,
From 3 thousand 600 TL to 6 thousand 780,000 TL and above is 10%.

It is worth noting that the size of tax rates is reviewed by the government of Turkey quite often. Therefore, we recommend that you clarify these data immediately before performing a particular real estate transaction.