Asset Declaration Law in Turkey 2026 - Tax Scale
2026
23 Sep
Introduction
This document presents a detailed and practical explanation of the Asset Declaration Law (Varlık Barışı) under Law No. 7582 published in the Official Gazette No. 33270 on June 4, 2026. The law establishes the framework for declaring liquid assets, gold, foreign currencies, and unregistered securities until July 31, 2027, in exchange for a progressive tax and protection from audits and penalties. Real estate is explicitly excluded. It also includes a 20-year exemption for foreign income for new residents and the possibility of directing funds to a YUVAM account for citizenship applications.
Brief Answer (Direct Response)
Under Law No. 7582 published in Official Gazette No. 33270 on June 4, 2026, the declaration of cash, gold, currencies, and securities until July 31, 2027, allows for a progressive tax of 5→0% and protection from audits and penalties. Legal guidance and procedures are provided by GARS Consulting.
1. Regulatory Conditions 2026
- Legal Basis: Law No. 7582, Official Gazette No. 33270, Publication Date June 4, 2026.
- Scope of Covered Assets: Cash, deposits, gold, foreign currencies, and unregistered securities (domestic or foreign). Real estate is explicitly excluded.
- Declaration Deadline: Until July 31, 2027.
- Tax Implications: A progressive declaration tax starting at 5% and gradually decreasing to 0% based on the duration of funds held in qualifying Turkish financial instruments.
- Legal Protection: Properly declared assets are protected from tax audits and penalties related to prior periods, provided there is full disclosure and compliance with the GİB's executive instructions.
- Foreign Income Exemption: A 20-year exemption for foreign income for new residents (residency and tax transition conditions must be met).
- Possibility of Direction to YUVAM Program: Declared funds can be directed to a YUVAM account to support citizenship applications through a bank deposit of $500,000, subject to YUVAM conditions and receiving bank regulations.
2. Comparison Table and Costs
| Item | Scope/Amount | Legal Note |
|---|---|---|
| Covered Assets | Cash, deposits, gold, currencies, unregistered securities | According to Law No. 7582; real estate is excluded |
| Deadline | Until July 31, 2027 | Final date for declaration under the law |
| Initial Tax | 5% subject to decrease | Decreases based on the duration of funds in qualifying Turkish financial instruments |
| Audit and Penalty Protection | Temporary and comprehensive protection for properly declared assets | Related to compliance with conditions, full disclosure, banking documentation, and GİB |
| Foreign Income Exemption for New Residents | 20-year exemption | Requirements for tax residency change and compliance with the law |
| Possibility of Direction to YUVAM | Acceptance of direction for a $500,000 deposit as part of the citizenship application | Subject to YUVAM conditions and central bank and relevant authority instructions |
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