Turkey has raised the withholding tax rate on certain money market fund gains from 0% to 10% for corporate investors, effective 5 September 2026.
Turkey’s Revenue Administration has announced that Presidential Decision No. 11734, published in the Official Gazette No. 33361 on 5 September 2026, raises the withholding tax rate on certain money market fund earnings from 0% to 10% for corporate investors.
The 10% rate applies to gains from money market funds and free funds whose titles contain the phrase “money market”. It covers domestic capital companies, domestic and foreign funds, and non-resident foreign institutional investors (corporate investors).
For fund shares acquired on or after 5 September 2026, the 10% rate applies to the gains derived from those shares. For shares acquired before that date, the rate applies only to gains accrued from 5 September 2026 until the shares are disposed of.
The amendment was made to the decision annexed to Council of Ministers Decision No. 2006/10731 under Provisional Article 67 of the Income Tax Law No. 193.
The 0% withholding tax rate remains applicable to income earned by covered corporate investors from other securities and capital market instruments. For individual investors, the withholding tax rate remains unchanged at 17.5%.
The Decision took effect on its publication date, with implementation assigned to the Minister of Treasury and Finance.
