Turkey has extended the 0% withholding (tevkifat) tax rate on government bonds, treasury bills, and lease certificates, maintaining tax exemptions for investors.
Turkey’s Revenue Administration has announced that Presidential Decision No. 10706, published in the Official Gazette on 19 December 2025, extends the 0% withholding tax rate on specific financial instruments.
The decision, accepted on 18 December 2025 under the authority granted by the 17th paragraph of temporary article 67 of the Income Tax Law No. 193, prolongs existing tax incentives previously set to expire at the end of 2025. The amendment applies to temporary article 4 of the Decision annexed to BKK No. 2006/10731, moving the expiration date to 30 June 2026.
Under this regulation, investors will continue to benefit from a 0% withholding (tevkifat) rate on income derived from:
- Government bonds (Devlet tahvili)
- Treasury bills (Hazine bonoları)
- Lease certificates (kira sertifikaları) issued by asset leasing companies established pursuant to Law No. 4749
The extension effectively maintains a tax exemption on these government-backed debt securities and authorised lease certificates for an additional six months, aiming to support a favourable investment environment in Turkey.
Key Dates
| Event | Date |
| Presidential Decision accepted | 18 December 2025 |
| Presidential Decision published in Official Gazette | 19 December 2025 |
| Original expiration of tax incentives | 31 December 2025 |
| New expiration of tax incentives | 30 June 2026 |
Earlier, the Revenue Administration announced Presidential Decision No. 10041 on 8 July 2025, which increases withholding tax rates on income from Turkish lira (TRY)-denominated deposit and participation accounts and mutual funds, effective from 9 July 2025.
