Property Taxation in Turkey
How about the Annual Income Tax for the purchased Property?
Currently, in case you sell your property 5 years after the purchase, and if your increase in value between your price of purchase and sale is more than 8.800.-TL, you have to pay 15% of this gain as a income tax. This means that 15% of the gain shown on title deed has to be paid as the income tax. If you ever purchase and sell more than one property within a year, then you will have to pay according to the criterias of the commercial earnings.
What's the Annual Income Tax to pay, in case you rent your Property?
Another topic that interests the people who buy property as investment is the tax which should be paid over the rental income. The annual income tax of 2.800.-TL which was tax-exempt in 2011 became 3.000.-TL in 2012. The investors who have a return more than this amount are currently subject to pay the rental income tax.
For ex: A person with 1.000.-TL of rental income per month obtain 12.000.-TL of rent per
year. That person must pay 11% of the mentioned annual amount as income tax, which means
1.320-TL.