According to the 27998389 - 010.06.02 - 854887 numbered Circular published by the Ministry of Treasury and Finance with the subject "Financial and Social Rights", the coefficients used to calculate the wage of a public officers have been revised effective 01.01.2022.

Income Tax Exempted Child Support

The following values have been calculated taking these coefficients into account, and shall be applied for the period between the dates of 01.01.2022 - 30.06.2022 monthly child support to be exempted from income tax is;

According to the 27998389 - 010.06.02-854887 numbered Circular published by the Ministry of Treasury and Finance with the subject ‘Financial and Social Rights’, the coefficients used to calculate the wage of public officers have been revised effective 01.01.2022.

Income Tax Exempted Severance Payment

The following value has been calculated taking these coefficients into account and shall be applied for the period between the dates of 01.01.2022 – 30.06.2022 maximum severance payment to be exempted from income tax is determined as 10,596.74 TRY.

To access the full circular in which these announcements were made, please click here. (Please also be advised that the contents of this circular are in Turkish.)

Should you have any queries or need further details, please contact your customer representative.

The statutory deductions applicable in a standard Turkish payroll are social security premium, income tax, and stamp tax. Also, the salaries generated from liaison offices in Türkiye are exempt from income tax per Article 23/14 of Income Tax Law, and these are only subject to social security.

Also, as of 2022, an income tax exemption amount up to the tax amount calculated over minimum wage would be applicable for all wages.

Social Security Premium

Social Security Premium is calculated over wages monthly and paid jointly by the employee and the employer. The contribution rates are as follows:

With Law No. 7346 published in the Official Gazette numbered 31700 and dated 25.12.2021, new regulations have come into force for the R&D and technology development employees.

With that new regulation, the income tax exemption can be applicable up to the limit of 20% of the total population or 20% of the total time subject to the incentive for the time performed outside of R&D and technology development regions. The President can increase the rate to 75% per the regional or sectoral developments.