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TAX · 2026 REFORM

Turkey 2026 Tax Reform: The 0% Foreign Income Rule

Law No. 7582 gives new Turkish tax residents 0% on foreign-source income for up to 20 years. Here's who qualifies, how it actually works, and how to claim it.

What the law actually does

Law No. 7582 exempts foreign-source income from Turkish income tax for up to 20 years, for individuals who become Turkish tax residents after meeting a simple non-residency test. It's broad by design — it applies across almost any profession, not just a narrow list of qualifying jobs.

That breadth is what sets Turkey apart from comparable regimes elsewhere — Portugal's replacement for NHR, for example, only covers specific tech and research roles.

The 3-year non-residency test

To qualify, you must not have been a Turkish tax resident for the 3 years immediately before your move. If you meet that bar, the 20-year clock starts once you establish Turkish tax residency — generally by spending 183+ days a year in the country or by establishing your center of vital interests here.

Foreign income vs. domestic income

The exemption only covers income sourced from outside Turkey — a salary from a foreign employer, foreign investment gains, a foreign-registered business. Income earned inside Turkey, including from a Turkish company you own, is taxed under normal Turkish rules regardless of your residency history.

Personal income, not corporate profit
Owning a Turkish company doesn't extend this exemption to the company's profits — that's a separate question, taxed under Turkey's standard corporate tax rules. This law is about your personal tax residency.

How to actually claim it

Get your Turkish tax number first — it's free and takes minutes. From there, the exemption is applied when you file, based on documented proof of your prior non-residency and the foreign source of your income. Keep records of where your income originates; that documentation is what an advisor will ask for.

Want the full breakdown?
Download the free PDF guide — the mechanics of Law 7582, the residency test explained, and how to actually claim it.
This article is general information as of 2026, not tax advice. Confirm your specific eligibility with a certified Turkish tax advisor before filing.
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