Turkey Property Tax Guide 2026

Emlak Vergisi (Property Tax)

Emlak Vergisi is an annual property tax levied by municipalities on the declared value of real estate in Turkey. The rates are determined based on the property type and location (metropolitan municipality or other):

• Residential property: 0.1% (0.2% in metropolitan municipalities)
• Commercial property: 0.2% (0.4% in metropolitan municipalities)
• Land (arazi): 0.1% (0.2% in metropolitan municipalities)
• Building plots (arsa): 0.3% (0.6% in metropolitan municipalities)

The tax is calculated on the taxable value (vergi değeri), which is determined by the municipality based on a mass appraisal system. The declared purchase price cannot be lower than the municipality's assessed minimum value (asgari metrekare birim değeri). Property tax is paid in two instalments: March–April and November. The taxable value is reassessed annually based on the revaluation rate (yeniden değerleme oranı), but the increase cannot exceed 50% of the previous year's value.

Emlak Vergisi Exemptions

Principal residence exemption: Owner-occupied residential properties are exempt from Emlak Vergisi if the total area of the residential building does not exceed 200 m² and the taxpayer has no other residential property in Turkey. This exemption applies to a single dwelling and must be claimed by the owner. If the owner owns multiple residential units, none qualify for the exemption. Widows of martyrs, disabled persons (90%+), and certain other categories may also qualify.

New construction exemption: Newly constructed buildings are exempt for the first 3 years in metropolitan areas (5 years in other areas) from the date of completion, provided the building is used as a residence and meets the exemption conditions.

Tapu Harcı (Title Deed Fee)

Tapu Harcı is a transfer fee payable upon acquisition or sale of real estate. The total rate is 4% of the declared sale price (typically 2% payable by the buyer and 2% by the seller, though in practice the buyer often bears the full 4% as a negotiated term). The fee is paid to the Land Registry Office (Tapu ve Kadastro Genel Müdürlüğü) at the time of registration. The declared sale price must be at least the municipality's assessed minimum value. The fee is calculated as 4% × (higher of sale price or assessed minimum value). First-time homebuyers may benefit from reduced rates (e.g., 0% for the buyer's share on the first TRY 1,000,000 portion under certain government programmes, subject to eligibility).

ÇTV — Environmental Cleanliness Tax (Çevre Temizlik Vergisi)

ÇTV is a municipal tax levied on all properties connected to municipal water and sewage services. The fee is included in the monthly water bill based on water consumption or a flat rate depending on the municipality:

• Residential: TRY 20–50 per month (varies by municipality, indexed annually)
• Commercial: TRY 50–200 per month depending on business type and area

ÇTV is collected by the water utility with the water bill. It is distinct from Emlak Vergisi and is not deductible for income tax purposes for individuals (deductible for businesses).

Capital Gains on Real Estate

5-year rule: Gains from the sale of real estate acquired before 5 years from the date of transfer are subject to capital gains tax under IIT. If the property is held for more than 5 years, the gain is entirely exempt from tax. The gain is calculated as the sale price minus the acquisition cost (adjusted for inflation using the producer price index). 40% of the gain (for qualifying holding periods under 5 years) is subject to progressive IIT rates (15–40%).

Principal residence exemption: Gains from the sale of a principal residence (owner-occupied) are exempt from tax regardless of the holding period, provided the property was used as the taxpayer's primary residence. This exemption applies only once every 5 years.

Note: The 5-year holding period counts from the date of acquisition as recorded in the title deed (tapu). The tax return for property gains must be filed by 31 March of the following year.

Other Property-Related Taxes

KDV on property purchases: Residential properties up to 150 m² are subject to 1% KDV (8% if delivered by the builder after 2023 depending on area); commercial properties are subject to 18% KDV. Second-hand residential property sales between individuals are exempt from KDV.

Annual rental income: Rental income derived from real estate is subject to IIT. A flat exemption of TRY 33,000 (2026 estimated) applies for rental income from residential properties. Above the threshold, the gross rent is included in the annual income return and taxed at progressive IIT rates (15–40%).

FAQs

Can a foreigner own property in Turkey?

Yes, but subject to restrictions. Citizens of certain countries may not be permitted to purchase, and there are limits on total foreign ownership per district (max 10% of the district's surface area). Military clearance is required.

Is there inheritance tax on property?

Yes, inherited property is subject to Veraset ve İntikal Vergisi (inheritance and gift tax) at progressive rates of 1–30%, with reduced rates for spouse and children (1–10%). See our Inheritance & Gift Tax Guide.

What is the tax on rental income from Turkish property?

Rental income is subject to IIT. Residential rent up to TRY 33,000 (2026 est.) is exempt. Above that, net rent (gross rent minus 15% lump-sum expense deduction or actual documented expenses) is taxed at progressive rates.

Do I pay Emlak Vergisi if I live abroad?

Yes, Emlak Vergisi is based on property ownership, not residency. All property owners, regardless of residence status, must pay Emlak Vergisi annually.

Disclaimer

This guide provides general information about Turkish property taxes for the 2026 tax year. Values and thresholds are estimated based on the most recent published data and the annual revaluation rate. Tax laws may change. Always consult with a qualified Turkish tax advisor or GİB for advice specific to your situation. InvestmentKit does not provide tax advice.