In January 2006, the media of the Republic of Turkey promulgated Law No. 5444, which regulates the inheritance, sale and purchase of real estate in the country. Foreigners have the right to buy such objects in the administrative entities of Turkey, while the area of this site should be no more than 2.5 hectares.

To become the owner of a plot with an area of more than 30 hectares, it is necessary in accordance with Law No. 2644 Art. 35, to obtain authorization for this transaction from the Government of the Republic of Turkey. The exception is the case when the owner of the site becomes a foreigner who enters into an inheritance.

Top Laws and Taxes in Turkey

In January 2006, the media of the Republic of Turkey promulgated Law No. 5444, which regulates the inheritance, sale and purchase of real estate in the country. Foreigners have the right to buy such objects in the administrative entities of Turkey, while the area of this site should be no more than 2.5 hectares.

To become the owner of a plot with an area of more than 30 hectares, it is necessary in accordance with Law No. 2644 Art. 35, to obtain authorization for this transaction from the Government of the Republic of Turkey. The exception is the case when the owner of the site becomes a foreigner who enters into an inheritance.

There are no restrictions on the amount of money that is sent by non-cash method for payment. There are also no restrictive measures related to the amount of property acquired by one person.

The Law Regulating the Ownership of Land by Foreign Nationals

The ownership of land by foreigners in the country is regulated by Act No. 2644. The document was amended in July 2008. According to this law, a foreigner who decides to acquire ownership of a plot of land must apply to the Office for Property Registration in the administrative unit where the purchase is located.

The whole acquisition process is not complicated. Real estate objects that have been officially registered can be used as collateral when receiving funds from banking institutions.

The title system of property ownership assumes that the owner enters into the rights for an unlimited time, and after the purchase, this right cannot be challenged in court.

Rights of notary offices

Under Turkish law, notaries are deprived of the right to register real estate and register such transactions. The notary draws up only the contract, where the amount of the transaction is prescribed, and how the payment will take place.

As a rule, the contract is concluded by the buyer and the real estate agency selling the object. This document contains the following information:

• about the buyer;
• about the object that is being implemented;
• amount and method of payment.

The procedure for mandatory appraisal of real estate transferred to the ownership of foreigners

In February 2019, a decree of the Turkish Land Registry and Cadastre Authority came into force. According to this document, from March 4, 2019, all foreign citizens purchasing real estate must receive a document on the assessment of the object and its value. In a couple of years, the standard will also apply to Turkish citizens.

Transfer of property by inheritance

This procedure in the Republic of Turkey is similar to how it is performed in most developed countries of the world. All rules apply to local and foreign citizens. In order to enter into rights, a citizen of Russia must be an heir under the will. This document is most reliable to draw up in Turkey, or another country that has approved the Hague Convention.

For those who have a will drawn up in another country, there is the following procedure. It is necessary to have a judicial letter from your state, certified by the Turkish consulate and submit it to the court where the object of inheritance is located. The court draws up a document, which is then transferred to the TAPU. You will also need to pay tax on inheritance and transfer of ownership of the object.

Features of local taxation

There are two main taxes on citizens’ income on the territory of the Republic:

• personal income tax – regulated in the range from 15% to 35%;
• corporate income taxes, amounting to 20% of the profit received;
• There is also a third type of taxation, value added, rates of 1%, 8%, 18%.

In addition, it is worth considering the existence of state fees for the preparation of various documentation – from 0.189% to 0.948% of the cost.

In Turkey, there is a property tax of the following types:

1. Real estate tax, from 0.1% to 0.6%.
2. Motor vehicle tax (permanent) – depends on the size of the engine and the age of the car.
3. Inheritance or gift is also taxed at 1%-30%.

All this information will be useful to citizens of Russia and other countries planning to buy or inherit in Turkey.