As of 2025 calendar year, the main changes regarding the lump sum rates and amounts to be applied are as follows

  1. Income Tax Tariff for 2025 Incomes

Income subject to income tax in 2025 will be taxed as follows:

  • Up to 158,000 TL: 15%
  • For the portion exceeding 158,000 TL up to 330,000 TL: 23,700 TL for the first 158,000 TL, and 20% on the excess
  • For the portion exceeding 330,000 TL up to 800,000 TL: 58,100 TL for the first 330,000 TL (for wage incomes, 58,100 TL for the first 330,000 TL of incomes up to 1,200,000 TL), and 27% on the excess
  • For the portion exceeding 800,000 TL up to 4,300,000 TL: 185,000 TL for the first 800,000 TL (293,000 TL for the first 1,200,000 TL of incomes up to 4,300,000 TL), and 35% on the excess
  • Over 4,300,000 TL: 1,410,000 TL for the first 4,300,000 TL (1,378,000 TL for wages), and 40% on the excess
  1. Exemption Amount for Residential Rental Income

The exemption amount for residential properties rented out in 2025 has been set at 47,000 TL.

  1. Exemptions for Meals and Transportation Provided to Employees
  • Meal Allowance: For meals provided outside the workplace by the employer, the daily exemption amount is 240 TL (excluding VAT).
  • Transportation Allowance: For daily transportation expenses provided to employees by the employer, the daily exemption amount is 126 TL (excluding VAT).
  1. Limitations on Car Expenses
  • Rental Expenses: The maximum allowable monthly rental expense for passenger vehicles is 37,000 TL.
  • Depreciation: In the case of purchased cars:
    •   Up to 990,000 TL of the total SCT (Special Consumption Tax) and VAT
    •   Up to 1,100,000 TL of the vehicle cost excluding SCT and VAT
    •   Up to 2,100,000 TL of the total cost (including SCT and VAT) or second-hand purchase cost

can be treated as deductible from the tax base. Amounts exceeding these thresholds will be treated as non-deductible expenses (NDE).

  1. Tax Discount for Tax-Compliant Taxpayers

The maximum discount amount for tax-compliant taxpayers has been updated to 9,900,000 TL for 2025.

  1. Exemptions for Capital Gains and Occasional Income

As of 2025:

  • Capital gains exemption limit is identified as: 120,000 TL
  • Occasional income exemption is identified as: 280,000 TL
  1. Declaration Threshold for Capital and Real Estate Income

The declaration threshold for capital income not subject to withholding tax or exemptions has been set at 18,000 TL for 2025.

  1. Minimum Invoice Threshold

The minimum invoice issuance threshold for 2025 has been updated to 9,900 TL. Sales below this amount can be documented with retail sale receipts (cash register slips, retail sale invoices, etc.). However, if the customer’s requests, invoices must be issued for amounts below this threshold.

  1. Direct Expense Recognition Threshold for Tangible Assets

The threshold for direct expense recognition of tools, equipment, and fixtures has been set at 9,900 TL for 2025.

For intangible assets, amortization is required regardless of the amount.

  1. Threshold for Receivables Not Worth Litigation or Enforcement

Receivables not exceeding 20,000 TL can be considered doubtful receivables, and can be written off as a deductible expense without the need for litigation or enforcement as of 2025.

  1. Minimum and Maximum Earnings Subject to Social Security Premiums

Under Article 82 of the Social Insurance and General Health Insurance Law No. 5510, the lower limit for daily earnings is one-thirtieth of the minimum wage, and the upper limit is 7.5 times this amount. Accordingly, the monthly lower and upper earnings limits for 2025 are:

Period  01.01.2025 – 31.12.2025

Monthly Lower Limit  26,005.50 TL

Monthly Upper Limit  195,041.40 TL

Daily Lower Limit  866.85 TL

Daily Upper Limit  6,501.38 TL

  1. Gross Minimum Wage and Employer Costs for 2025

The daily gross minimum wage for the period 01.01.2025 – 31.12.2025 has been set at 866.85 TL. Monthly minimum wage details are as follows:

Minimum Wage Components  Amount (TL/Month)

Gross Minimum Wage                               26,005.50

Social Security Premium (14%)              3,640.77

Unemployment Insurance Premium (1%)  260.06

Monthly Income Tax   –

Stamp Tax    –

Total Deductions                                         3,900.83

Net Minimum Wage  22,104.67

 

Employer Cost:

Minimum Wage Components    Amount (TL/Month)

Gross Minimum Wage:    26,005.50

Social Security Premium (Employer Share) 15.75% (*)  4,095.87

Social Security Premium (Employer Share) 16.75% (**)  4,355.92

Unemployment Insurance Premium (Employer Share) 2%  520.11

Total Cost (*)    30,621.48

Total Cost ()**    30,881.53

(*) A 5-point discount in the employer’s social security premium rate has been considered in the calculation. According to Article 81, paragraph (ı) of Law No. 5510, employers who meet the specified conditions are eligible for a 5-point discount in the employer’s social security premium rate.

(**) A 4-point discount is applied to the employer’s social security premium rate for private sector employers. In the manufacturing sector, the 5-point discount will continue for 2025 and 2026. For employers who do not meet the necessary conditions, the employer’s social security premium rate will be applied as 20.75%.

  1. Stamp Duty Cap

As of 2025, the upper limit of stamp duty for each document has been set at 24,477,478.90 TL