Gains from the disposal of a good are called appreciation gains. According to article 80 of the Income Tax Law No. 193, the value increase gained by selling a purchased real estate within 5 years is subject to tax. However, there is no obligation to pay tax on all capital gains from the sale of real estate.<\/p>\n
Value increase tax is not paid for the sale of real estate acquired through inheritance or free of charge, that is, when parents buy a house for their child. Another condition for being subject to tax is that the income obtained must be above the exemption limit.<\/p>\n
Tax liability is formed according to the amount of earnings between the time the real estate is bought and sold. The Revenue Administration explains the amount of the difference between the purchase and sale every year. The amount determined as this limit is called the exception limit. For example, people who sell their real estate in 2019 do not have to pay real estate capital gains tax if they earn less than 14,800 TL. You can visit the Exemption Amount for Value Increase Earnings<\/a>\u00a0page of the Revenue Administration to find out the exemption limit by year.<\/p>\n Persons who earn an increase in value above the exception limit must submit a declaration. It is obligatory to submit a declaration until the 25th of March following the year of sale of the real estate. For example, the person who sold his real estate in June 2019 must submit a declaration by March 25, 2020. Real estate capital gains tax can be paid in two equal installments, in March and July.<\/p>\n While calculating the capital gains tax, the price of the real estate at the date of purchase is recalculated according to the producer price index (PPI). The price calculated according to the PPI is subtracted from the sale price of the real estate. Expenses such as taxes and fees are also deducted from the result obtained. If the remaining amount is above the exemption limit, the tax to be paid is determined according to the tax bracket of that year.<\/p>\n <\/p>\n","protected":false},"excerpt":{"rendered":" What is Real Estate Valuation Gains Tax? Gains from the disposal of a good are called appreciation gains. According to article 80 of the Income Tax Law No. 193, the value increase gained by selling a purchased real estate within 5 years is subject to tax. However, there is no obligation to pay tax on […]<\/p>\n","protected":false},"author":1,"featured_media":90233,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[536],"tags":[],"class_list":["post-91547","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-turkey-real-estate-sale-guide"],"_links":{"self":[{"href":"https:\/\/emlakey.com\/en\/wp-json\/wp\/v2\/posts\/91547","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/emlakey.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/emlakey.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/emlakey.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/emlakey.com\/en\/wp-json\/wp\/v2\/comments?post=91547"}],"version-history":[{"count":0,"href":"https:\/\/emlakey.com\/en\/wp-json\/wp\/v2\/posts\/91547\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/emlakey.com\/en\/wp-json\/wp\/v2\/media\/90233"}],"wp:attachment":[{"href":"https:\/\/emlakey.com\/en\/wp-json\/wp\/v2\/media?parent=91547"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/emlakey.com\/en\/wp-json\/wp\/v2\/categories?post=91547"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/emlakey.com\/en\/wp-json\/wp\/v2\/tags?post=91547"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}How is Real Estate Value Increase Tax Calculated?<\/h2>\n