27.11.2025 08:00
The Revaluation Rate to be applied in 2026 has been finalized with its publication in the Official Gazette. Accordingly, a 25.49% increase will be applied to taxes, fees, and penalties starting from January 1, 2026. Along with the Revaluation Rate, there will be changes in many items, including property tax, IMEI registration fee, employee meal allowances, transportation expenses, and the exemption in rental income tax.
With the announcement of the inflation figures for October, there has been no change in the Revaluation Rate, which was published in the Official Gazette. Accordingly, the Revaluation Rate for this year has been set at 25.49 percent. Last year, this rate was announced as 43.93 percent.
"WE ARE WORKING TO INCREASE TAXES AND FEES AT A LOWER RATE"
Minister of Treasury and Finance Mehmet Şimşek stated that they are working to increase taxes and fees at a lower rate, taking into account inflation targets, instead of the revaluation rate set at 25.49 percent for the new year. Reminding that the income tax tariff, among others, has also been updated with the revaluation rate, Şimşek said, "The income tax tariff will be updated with the rate of 25.49 percent. We will not make any arrangements that would be against our citizens. Many exemption amounts, such as those related to transportation and meal allowances that employees benefit from, income tax reduction amounts for our disabled citizens, and exemption amounts for rental income, capital gains, and occasional gains will also be increased with the revaluation rate." he stated.
On the other hand, the exemption limits for tradesmen, the exemption thresholds for rental and income exemptions for taxpayers subject to simple procedures, the bookkeeping thresholds, and the exemption amounts in inheritance and transfer tax are also increasing with the revaluation rate.
WHAT WILL CHANGE?
With the Revaluation Rate, there will be changes in many items such as taxes, fees, penalties, meal allowances for employees, transportation expenses, exemptions in rental tax, declaration limits for those with dividend income, capital gains tax from real estate bought and sold within 5 years, invoice and depreciation limits, passenger car expenses, property tax, IMEI registration fee, and exit tax for abroad. The changes will come into effect on January 1, 2026.
MEAL CARD FEES
Currently, meal card fees are applied at a minimum of 240 lira + VAT. Since the Revaluation Rate is 25.49 percent, the daily meal fee of the meal card is expected to rise to 301.17 lira excluding VAT.
EMPLOYEES' TRANSPORTATION EXPENSES
In cases where employers do not provide transportation opportunities for employees, the daily transportation fee for the days worked (in 2025) was exempt from income tax up to 126 lira. This amount is expected to be 158.11 lira.
RENTAL INCOME TAX EXEMPTION
An exemption is applied for taxpayers declaring rental income. In 2025, this amount was 47 thousand lira, and if it increases by 25.49 percent, the rental exemption is expected to rise to 58 thousand 980 lira. (The rental exemption means that if the annual rental income is below 47 thousand lira, there will be no tax liability.)
DECLARATION LIMIT
It is expected that the limit amount used in the declaration of withholding (tax deduction) applicable income and real estate capital gains, such as dividend income, business rental income, or salary income from multiple employers, will increase from 330 thousand lira to 414 thousand 117 lira.
For real estate and capital gains that are not subject to any withholding or exemption (such as foreign bank interest income), it is expected to rise from 18 thousand lira to 22 thousand 588 lira.
REAL ESTATE SALES
Except for sales made within the scope of commercial activities, no income tax is paid on the gains from real estate sold after being held for at least 5 years. The exemption amount for gains from real estate sold before the 5-year period is expected to increase from 120 thousand lira to 150 thousand 588 lira.
INVOICE AND DEPRECIATION LIMIT
The invoice issuance limit and the limit for fixed assets that can be directly written off as expenses are expected to rise from 9 thousand 900 lira to 12 thousand 423 lira.
PASSENGER CAR EXPENSES
The monthly rental fee for each rented passenger car was 37 thousand lira in 2025. If it increases by 25.49 percent, this amount is expected to be 46 thousand 431 lira.
For purchased passenger cars, in 2024, the maximum amount of VAT and SCT that could be considered as an expense was 990 thousand lira. This amount is expected to rise to 1 million 242 thousand 351 lira. Additionally, up to 70% of expenses related to passenger cars such as fuel, repair, maintenance, parking, highway, bridge, and insurance can also be deducted from income.
IMEI REGISTRATION FEE
The IMEI registration fee is expected to rise from 45 thousand 614 lira to 57 thousand 241 lira.
EXIT TAX FOR ABROAD WILL INCREASE
The exit tax for abroad is currently applied at 1000 lira. If it increases by 23 percent, it is expected to rise to 1255 lira.
WEAPON LICENSES WILL ALSO INCREASE
Weapon carrying and possession licenses are valid for 5 years. The weapon possession license is expected to rise from 50 thousand 565 lira to 63 thousand 454 lira, the weapon carrying license from 158 thousand lira to 198 thousand 517 lira, the smoothbore shotgun possession license from 50 thousand 565 lira to 63 thousand 454 lira, the smoothbore shotgun carrying license from 158 thousand lira to 198 thousand 517 lira, and the non-smoothbore shotgun license from 1 thousand 225 lira to 1 thousand 537 lira.
The weapon possession card fee is expected to rise from 1 thousand 100 lira to 1 thousand 380 lira, the weapon carrying license card fee from 1 thousand 500 lira to 1 thousand 882 lira, the non-smoothbore shotgun license card fee from 600 lira to 753 lira, and the blank-firing notification card fee from 150 lira to 188.2 lira.