Ceasing your tax residency in Turkey can be a pivotal move, especially if you're relocating or planning significant changes in your personal or business life. This guide will walk you through the necessary steps to ensure everything is handled correctly and legally.
Determine the Criteria for Ceasing Tax Residency
Understand the criteria under Turkish law that define when an individual ceases to be a tax resident. Generally, an individual is considered a tax resident if they reside in Turkey for more than six months within a calendar year. If you plan to reside outside of Turkey for more than six months, you may meet the criteria for ceasing tax residency.
Notify the Tax Office
You must notify the local tax office of your intention to cease being a tax resident. This is done by submitting a written declaration stating your reasons and providing evidence of your new residency status abroad. Ensure that all information provided is accurate and complete.
Settle Outstanding Tax Liabilities
Before ceasing your tax residency, you must settle any outstanding tax liabilities. This includes paying any due taxes, penalties, and interest. Contact the tax office to get an updated statement of your account and ensure all dues are cleared.
Close Your Tax Records
Request the closure of your tax records with the local tax office. This process involves verifying that all tax returns have been filed and all taxes have been paid. The tax office will provide you with a confirmation once your records are closed.
Obtain a Tax Residency Certificate
If required, obtain a tax residency certificate from the local tax office. This certificate can serve as proof to foreign tax authorities that you have ceased to be a tax resident in Turkey. The certificate is often needed for tax purposes in your new country of residence.
Legal References
- Turkish Income Tax Law No. 193
- Turkish Tax Procedure Law No. 213
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