Navigating the Tax System in Istanbul: What You Need to Know

In Istanbul, there are various taxes that individuals and companies may be subject to. Here are some of the main taxes in Istanbul:

Income Tax: Individuals who are residents of Turkey are required to pay income tax on their earnings, including salaries, rental income, and other sources of income. The income tax rates in Turkey vary depending on the level of income.

Corporate Tax: Companies that are based in Turkey are required to pay corporate tax on their profits. The corporate tax rate in Turkey is 22% for 2021.

Value Added Tax (VAT): VAT is a consumption tax that is added to the price of goods and services in Turkey. The standard VAT rate in Turkey is 18%, but there are reduced rates for certain goods and services.

Property Tax: Property owners in Istanbul are required to pay property tax on their real estate holdings. The property tax rate in Istanbul is determined based on the value of the property.

Motor Vehicle Tax: Individuals and companies that own vehicles in Istanbul are required to pay motor vehicle tax based on the vehicle’s engine size and age.

Stamp Duty: Stamp duty is a tax that is applied to certain legal documents in Istanbul, such as contracts, deeds, and agreements.

It’s worth noting that tax laws and regulations in Turkey are subject to change, so it’s important to consult with a qualified tax advisor or accountant to ensure compliance with current tax laws. As Estates Istanbul, we can assist our clients in navigating the complex tax landscape in Istanbul and help them make informed decisions about their tax obligations.