Türkiye 20-Year Income Tax Exemption for New Residents

One of the most notable provisions of Law No. 7582 is the long-term income tax exemption granted to certain people who settle in Türkiye, covering their income from abroad. This article covers the provision for information purposes.

🌍 Scope of the Exemption

Under the provision, when individuals who were not resident in Türkiye and had no tax liability in Türkiye during the last three calendar years before settling settle in Türkiye, their income earned abroad may be exempt from income tax for 20 years. No tax return is envisaged for this income either.

🎯 What Is the Purpose?

The purpose of the provision is to encourage qualified people and capital to settle in Türkiye. The exemption targets only income from foreign sources.

🧾 A 1% Rate on Inheritance

For people within this scope, a tax rate of 1% is envisaged on the transfer of property through inheritance. This is another of the advantages the provision offers.

⚖️ The Importance of the Conditions

Benefiting from the exemption depends on meeting conditions such as "not being resident in the last three years". The assessment of residence and tax liability is specific to each person and has to be handled carefully.

❓ Frequently Asked Questions