Wages are money and benefits measurable in money given for services to people working for an employer in the employer's business (Income Tax Law art. 61). What the payment is called (bonus, premium, allowance, aid) does not change its nature; undocumented and lump-sum payments are also wages. Reimbursement of documented actual expenses is not.
2026 income tax brackets (wages)
| پله درآمد | نرخ |
|---|---|
| 0 – 190,000 TL | 15% |
| 190,000 – 400,000 TL | 20% |
| 400,000 – 1,500,000 TL | 27% |
| 1,500,000 – 5,300,000 TL | 35% |
| 5,300,000 – ∞ TL | 40% |
The brackets apply to the cumulative base from the start of the year, so as the year progresses the employee moves into higher brackets and net pay falls for the same gross. If a fixed annual net is promised, its cost rises during the year. The salary calculator shows bracket changes by month.
Minimum wage exemption
The part of the wage equal to the minimum wage is exempt from income tax and stamp duty for all employees; it replaced the minimum living allowance abolished in 2022 and does not depend on marital status or children. It applies with one employer only. Minimum wage calculator
Tax-exempt benefits (summary)
| Benefit | Income tax |
|---|---|
| Meals provided at the workplace | Exempt without limit |
| Meal allowance (cash, card or voucher) | Up to 300 TL per day actually worked |
| Public transport card, ticket or shuttle | Up to 158 TL per day; cash travel allowance is not exempt |
| Disability allowance | Degree 1 12,000 TL, degree 2 7,000 TL, degree 3 3,000 TL (monthly, from the base) |
| Private pension and health insurance (paid by employee) | Deduction limited to 15% of the wage and the annual minimum wage |
| Home working allowance | Up to 5% of the daily gross minimum wage |
Full list and SGK treatment: Benefits: tax and social security · SGK premium rates
Foreign-currency wages from an employer abroad
Under Income Tax Law art. 23/14, wages are exempt if all four conditions are met:
- The employer's legal seat and place of business are abroad.
- The wage is paid from profits earned abroad.
- Payment is in foreign currency.
- The wage is not recorded as an expense in Türkiye.
If one condition fails, the exemption is lost entirely. It concerns income tax only; SGK obligations and whether the foreign employer creates a permanent establishment in Türkiye are assessed separately. Employment for foreign companies
Residence
A person domiciled in Türkiye or staying more than 6 months continuously in a calendar year is a full taxpayer, taxed on worldwide income (temporary absences do not break the period). Non-residents are taxed only on Turkish-source wages. Double tax treaties may allocate taxing rights differently; a certificate of residence from the other country is needed to benefit. Double taxation
Is a return required?
Wages from a single employer taxed by withholding are not declared unless they exceed the fourth bracket amount. For people with wages from several employers, if the total from the second and later employers exceeds the legal limit, an annual return is filed in March and taxes withheld by employers are credited.
Common mistakes
- Still calculating the minimum living allowance.
- Treating cash travel allowance as exempt.
- Expensing the wage in Türkiye under the foreign-employer exemption.
- Promising a net wage without stating the period.
Sources
Income Tax Law No. 193 art. 4 (residence), art. 23 (exemptions), art. 31 (disability), art. 61 (wages), art. 63 (deductions), art. 86 (returns), arts. 103–104 (brackets); Stamp Duty Law No. 488; double tax treaties.