What is the property tax exemption law in Turkey? What are the conditions for those wishing to buy real estate in Turkey? How can this law be used to reduce the costs of buying a property? Learn with us through this article.
Real estate tax exemption in Turkey
The real estate tax exemption law in Turkey is one of the many stimulating laws by the Turkish government for foreign investors coming to the country for the purpose of real estate investment.
Investing in the real estate market in itself is a great gain for everyone who entered this field in order to achieve real wealth in Turkey.
Real estate investment is one of the exciting types within the multiple investment sectors in Turkey.
It joins the list of investment in the tourism sector,
investment in the industrial sector, and investment in the technology sector.
In order for foreign investors to trust Turkey and put their money in it,
they must see its development with their own eyes,
And they can observe the booming boom that Turkey is going through by watching the modernity of its infrastructure
And development in the academic,
educational and health sectors, and the structure of modern transportation and communications.
The real estate sector is no different from other investment sectors,
as it is clearly covered by the facilities of the Turkish government.
Its purpose is to attract investors to the local market.
In order to raise employment rates for Turkish citizens and to stay away from depositing money in banks.
The policy of facilities is clear within the campaign to fight interest,
which ignites a conflict between the Turkish government and international banks,
Where Turkish President Recep Tayyip Erdogan means that investors withdraw their money from banks and then invest it within investment projects on the ground,
Which will end the unemployment rates in the country, and will enhance the status of the Turkish economy globally.
Real estate tax exemption in Turkey:
It is one of the many legislations such as the Turkish Nationality Law,
which is in the interest of the foreign client, but how can you benefit from this law and make it include you as a foreign investor?
This law was issued in 2017,
Where it was issued in order to exempt foreign investors
from value-added tax on real estate in the event that the foreign investor proves that he does not have any valid residence in Turkey for at least 6 months.
The value added tax for commercial properties is 18% of the property value,
and for residential properties it ranges from 1-8-18%, depending on the type of residential property.
This value you can get over it while buying a property in Turkey,
But you must first prove that you paid the value of the property through a money transfer from an external bank to a Turkish bank,
Or by proving that you entered the money from one of the Turkish airports.
This decision does not include the cost of transferring title (Tabu), annual taxes,
or fees for monthly subscriptions and services.
It only applies to foreigners who have never had any residence in Turkey for a period of 6 months on commercial or residential real estate with exemption from value added tax only.
Contact us to request a free consultation regarding real estate in Turkey:
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