The sale income of real estate properties bought in Turkey by foreign companies having relevant workplace or permanent representative in Turkey in accordance with the provisions of Tax Procedure Law, is required to be taxed as “commercial earning”.
The sale income of real estate properties bought in Turkey by foreign companies which do not have any relevant workplace or permanent representative in Turkey in accordance with the provisions of Tax Procedure Law, as of the day of acquisition within 5 years, is required to be taxed as “other income and earnings”.
On the other hand, foreign company or the person acting in Turkey must submit the income with declaration to tax offices specified in Article 101 of Income Tax Law within 15 days as of the day of acquisition pursuant to Article 22 of Corporate Tax Law, if the taxable income of a limited taxpayer foreign company consists of this income. Moreover, the exception for income under Article 80 of the Income Tax Law must not be applied to the aforementioned incomes of the limited taxpayer institutions.
Source: GİB
Legal Notice: The information in this article is intended for information purposes only. It is not intended for professional information purposes specific to a person or an institution. Every institution has different requirements because of its own circumstances even though they bear a resemblance to each other. Consequently, it is your interest to consult on an expert before taking a decision based on information stated in this article and putting into practice. Neither Karen Audit nor related person or institutions are not responsible for any damages or losses that might occur in consequence of the use of the information in this article by private or formal, real or legal person and institutions.
