Taxes facing a business in Türkiye fall into three groups: taxes on income (income and corporate tax), on spending (VAT, special consumption tax, stamp duty, fees) and on wealth (property, motor vehicles, inheritance). This page draws the map; details are on the linked pages.
Key 2026 rates
| Tax | Rate |
|---|---|
| Corporate tax | 25% (30% for banks and financial institutions) |
| Domestic minimum corporate tax | 10% of income before deductions and exemptions; not for the first 3 periods of new companies |
| Income tax | 15%–40% progressive (tariff) |
| VAT | 20% general, 10% and 1% reduced |
| Dividend withholding | 15% |
| Stamp duty | Contracts 0.948%; leases 0.189%; wages 0,759% |
| Digital services tax | 5% (if domestic and worldwide turnover thresholds are exceeded) |
| Accommodation tax | 2% |
Who is taxed where?
- Full liability: companies with their legal seat or place of management in Türkiye; individuals resident in Türkiye (domicile, or more than 6 months in a calendar year). Taxed on worldwide income.
- Limited liability: companies with seat and management abroad and non-residents; taxed only on Turkish-source income. Without a permanent establishment or representative, tax is usually final through withholding.
- Tax treaties can narrow the permanent establishment definition and reduce withholding; a residence certificate is required. Double taxation
Corporate tax and reduced rates
- Export income: rate reduced by 5 points.
- Manufacturing income of companies with an industrial registry certificate actually producing: 1-point reduction.
- IPO: 2-point reduction for 5 periods for companies first offering at least 20% to the public.
- The domestic minimum tax limits the effect of these reductions and many exemptions; planning always includes it. Corporate tax calculator
- Service export deduction: for software, engineering, design and similar services supplied to customers abroad and used abroad, 100% of the profit can be deducted from 2026 periods. Service exports
VAT
There is no registration threshold; VAT liability starts with the first taxable transaction. Exports are exempt with the right of deduction (there is no 0% rate). VAT on services bought from abroad is declared by the Turkish buyer. Details: VAT and VAT refunds.
Withholding: the backbone
Tax is withheld at source on wages, professional fees, commercial rent, dividends, multi-year construction and payments to non-residents. Withholding rates
Stamp duty, fees and wealth taxes
| Tax | In short |
|---|---|
| Stamp duty | Documents with a stated amount; a maximum per document applies. Papers for company formation, share transfers and capital increases are exempt |
| Title deed fee | Buyer 2% + seller 2% |
| Property tax | Residences 0.1%, other buildings 0.2%, plots 0.3% (doubled in metropolitan areas). Calculator |
| High-value residence tax | 0.3%–1% |
| Motor vehicle tax | Fixed amount by age, engine size and value; two instalments a year |
| Inheritance and gift tax | 1%–10% on inheritance; 10%–30% on gifts |
| BSMV | 5% on banking and insurance transactions |
Resource Utilisation Support Fund (KKDF)
On foreign-currency loans from abroad, 3% (under 1 year), 1% (1–2 years), 0.5% (2–3 years) and 0% for 3 years or more by average maturity; deferred-payment imports (acceptance credit, deferred letter of credit, cash against goods) may trigger KKDF. Prepaid and letter-of-credit imports do not.
International rules
- Transfer pricing: related-party transactions at arm's length; annual report and return annex.
- Thin capitalisation: borrowings from shareholders and related parties above 3 times opening equity make the related interest and FX losses non-deductible.
- Controlled foreign companies: under certain conditions, foreign subsidiary income is taxed in Türkiye even if not distributed.
- Global minimum tax: 15% top-up tax for Turkish entities of large multinational groups.
What is different in 2026
- Inflation accounting is not applied in tax records for 2025, 2026 and 2027 under Law No. 7571 (except banks, insurers and some financial institutions).
- The minimum corporate tax is also considered in provisional tax periods.
- Fixed amounts and penalties were increased by the revaluation rate (25.49%). Current parameters
Filing calendar
VAT on the 28th, withholding and stamp duty on the 26th, provisional tax on the 17th of the second month after the quarter, corporate tax by end of April, annual income tax by end of March. Tax calendar · Tax returns
Sources
Income Tax Law No. 193; Corporate Tax Law No. 5520 (art. 12 thin capitalisation, art. 13 transfer pricing, art. 32 rates and reductions, art. 32/C minimum tax); VAT Law No. 3065; Tax Procedure Law No. 213; Stamp Duty Law No. 488; Law on Fees No. 492; Property Tax Law No. 1319; Inheritance and Gift Tax Law No. 7338; Motor Vehicles Tax Law No. 197; Law No. 7194 (digital services tax); Law No. 7571.