Introduction
Turkey’s new asset declaration and repatriation law was published in the Official Gazette on June 4, 2026. It is now in force. The declaration window runs until July 31, 2027 — after which both the window and the tax protection that comes with it close permanently.
If you hold cash, gold, foreign currency, securities, or other capital market instruments and have any connection to the Turkish financial or legal system, this law is directly relevant to you. The scope is broader than many foreign nationals assume: it covers assets held abroad as well as assets inside Turkey, and it applies regardless of your tax residency status.
Table of Contents
Who Does This Law Cover?
The law applies to both individuals and legal entities — with no carve-out based on tax residency. Whether your assets are held outside Turkey or inside, whether you are a foreign national, a Turkish citizen living overseas, or a foreign company with Turkish corporate exposure, you fall within scope if you have undeclared assets with any Turkish connection.
This is not a measure aimed solely at Turkish residents. Foreign investors holding Turkish company shares, real estate, or bank accounts should assess their position without assuming the law does not apply to them.
What Assets Are Covered?
The law covers cash and bank deposits, gold, foreign currency, securities (stocks, bonds, and funds), and other capital market instruments. There is no minimum threshold. The declaration obligation applies regardless of asset value — small holdings are not exempt.
Tax Rates: What You Will Pay
The tax is levied on the declared value of assets and collected upfront. The base rate is 5% with no commitment. If you invest the declared assets into Turkish government bonds for a defined period, the rate drops — to zero for a five-year commitment.
| Commitment Period | Rate (declare by Dec 31, 2026) | Rate (declare Jan 1–Jul 31, 2027) |
|---|---|---|
| 5 years or more | 0% | 0.5% |
| 4 years | 1% | 1.5% |
| 3 years | 2% | 2.5% |
| 2 years | 3% | 3.5% |
| 1 year | 4% | 4.5% |
| No commitment | 5% | 5.5% |
Timing matters. Declarations submitted after January 1, 2027 attract a 0.5 percentage point surcharge on every tier. Declaring before the end of 2026 locks in the lower rates shown in the left column.
The Audit Protection: What It Actually Means
Assets properly declared under this law are fully shielded from Turkish tax investigation and assessment. The Turkish Revenue Administration cannot open an inquiry into amounts that have been declared.
The protection is proportional rather than all-or-nothing. If an audit uncovers an undeclared gap and the declared amount covers it, no additional tax is assessed. If the gap is larger than what was declared, only the difference remains subject to assessment. Partial declarations still provide meaningful protection — they are not treated as all-or-nothing.
This audit shield is the most practically significant aspect of the law for many foreign nationals. The rate incentives matter, but the ability to close off retrospective tax exposure on legitimately earned assets is often the primary driver for taking action.
What to Do Now
The deadline is July 31, 2027. The rate advantage runs until December 31, 2026. Neither date is far away, and the administrative steps — valuation, documentation, declaration filing, and fund transfer to a Turkish account within two months of declaration — take time to prepare properly.
If you have undisclosed or untaxed assets with any Turkish connection, the correct step is to obtain legal advice now rather than closer to the deadline. Late preparation under time pressure produces errors that can undermine the protection the law is designed to provide.
Turkish investment lawyer Baris Erkan Celebi assists foreign nationals with international tax planning, cash repatriation declarations, and investing in Turkey.
- Author Av. Baris Erkan Celebi
- Barış Erkan Çelebi Founder of Turkish law firm
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Baris Erkan Celebi is an English-speaking Turkish lawyer who exclusively represents foreign investors in Turkey. His law firm in Turkey specializes in providing international investors in Turkey with reliable legal counsel and personalized business solutions.
