Asset Notification Processes Announced Under the New Wealth Amnesty Regulation

The “General Communiqué on Bringing Certain Assets into the Economy (Serial No: 1)” regarding the new wealth amnesty regulation, which came into effect with the provisional Article 19 added to the Corporate Tax Law, has been published.

The prominent procedures and principles within the scope of the said communiqué are summarized below:

1. Notification Period and Covered Assets

• Real or legal persons can declare their money, gold, foreign currency, securities, and other capital market instruments located abroad to banks or brokerage houses until **July 31, 2027**.
• It is mandatory to transfer the assets abroad to accounts in banks or brokerage houses in Turkey or bring them physically and deposit them into these accounts within two months from the notification date.
• Assets of the same type that are located in Turkey but not included in the legal accounting records can also be declared by depositing them into banks or brokerage houses until July 31, 2027.
• It is possible to make multiple notifications until July 1, 2027 (including this date).

2. Tax Rates and Commitment Discounts

• Under normal conditions, banks and brokerage houses will collect an advance tax at the rate of **5%** over the value of the declared assets.
• However, if a commitment is made that the declared asset will be kept in term deposit accounts, domestic government debt securities, lease certificates, or venture capital investment funds, the tax rates decrease depending on the duration.
• If this commitment period is 5 years, the tax rate is applied as **0%**, 1% for 4 years, 2% for 3 years, 3% for 2 years, and 4% for 1 year.
• For notifications made between January 1, 2027, and July 31, 2027 (including this date), these rates will be increased by half a point.

3. Bookkeeping Records and Special Fund Account

• Taxpayers keeping books on a balance sheet basis must open a special fund account in liabilities for the assets they declare.
• This fund account cannot be withdrawn from the business for two years from the notification date and cannot be used for any purpose other than adding it to the capital; it is not taxed in case of the liquidation of the business.
• Taxpayers keeping books on a self-employment earnings book and operating account basis shall show these assets separately in their books.
• Those who do not have an income or corporate tax liability can also benefit from this regulation and are not subject to conditions such as not being able to withdraw the assets from the business for two years.

4. Tax Inspection Exemption

• No tax inspection or tax assessment will be conducted under any circumstances regarding the amounts corresponding to the declared assets.
• In case of a violation of the conditions, such as not bringing the assets to Turkey on time, not depositing them in the bank, or not paying the accrued taxes on time despite the notification, the tax inspection exemption cannot be utilized.
• The tax paid within the scope of these notifications cannot be recorded as an expense under any circumstances and cannot be offset against another tax.