Individual - Significant developments

Last reviewed - 21 February 2022

A new Law No. 7256, published in the Official Gazette on 27 November 2020, includes a new wealth amnesty regime that is applicable until 31 December 2021 (Presidential Decree Nr. 5058, announced in the Official Gazette on 31 December 2021, extends this deadline until 30 June 2022).

The aim of this amnesty is to attract cash (including foreign currency), gold, securities, and other capital market tools, movable assets, and immovable assets located outside of the country into Turkey.

The legislation brings an immunity from inspection, enquiry, penalty, and assessment for the above-mentioned assets if declared to a financial institution in Turkey by 31 December 2021 (extended until 30 June 2022).

Following the declaration, the assets should be physically brought or transferred to a bank or financial institution in Turkey within three months after declaration. Unlike the previous amnesty regimes, no tax is applicable on the transferred asset amount for both the foreign and domestic assets.

In addition to the above, a new tax amnesty Law No. 7326 was published on 9 June 2021 which gives taxpayers the opportunity to re-structure outstanding tax and social security liabilities, as well as file any past years' tax returns, under the amnesty regime to avoid paying interest and penalties.