According to the Turkish Income Tax Law No. 193, individuals who obtained rental income (Gayrimenkul Sermaye İradı) from residential or commercial properties in the 2025 calendar year must file their annual income tax return between March 1, 2026, and March 31, 2026. The final tax liability is determined based on the net income after applying deductions and exemptions, following a progressive tax rate structure.
Rental income tax is a direct tax levied on the net earnings that individuals derive from leasing their immovable property, such as residential units, commercial spaces, and land. Under the Turkish tax system, which operates on the principle of “declaration,” property owners are responsible for calculating their net income, applying legitimate deductions, and submitting this information to the Revenue Administration (GİB) annually. For income earned in 2025, this declaration process occurs in March 2026.
💡 Critical Information: The 47,000 TL exemption amount applies only to income obtained from properties leased as residences; it cannot be applied to income from commercial property leases.
Who Must File a Rental Income Tax Return?
The following categories of taxpayers must file a return in March 2026 for income obtained in 2025:
Individuals who derived more than 47,000 TL in total residential rental income.
Individuals who derived commercial rental income (subject to withholding tax) that exceeds a gross total of 330.000 TL.
Individuals who have both residential and commercial rental income, where the total of the net residential income (after deduction) and the gross commercial income exceeds 330.000 TL.
Non-Resident Taxpayers (Dar Mükellef)
Individuals who do not reside in Türkiye but derive income from property located within the country are considered non-resident taxpayers (dar mükellef). These individuals are taxed only on their income sourced within Türkiye and are also entitled to the 47,000 TL residential exemption, provided they are not required to file a full annual declaration for other income.
How to File a Return? Step-by-Step Declaration Process
To file a rental income tax return, property owners must follow these steps:
Access the Pre-Prepared Return System: Log in to hazirbeyan.gib.gov.tr using e-Devlet credentials or an Internet Tax Office password.
Review Pre-Filled Information: GİB prepares a return based on bank and title deed records. Mükellef (taxpayer) must check this data for accuracy and add any missing information.
Select an Expense Method: The taxpayer must choose between the “Lump-Sum Expense” (Götürü Gider) or “Real Expense” (Gerçek Gider) method. This selection directly impacts the taxable amount.
Apply Deductions and Exemptions: The system applies the relevant residential exemption (47,000 TL) and calculates the net taxable income based on the chosen expense method.
Confirmation and Assessment: The return is electronically confirmed, and a tax assessment notice (tahakkuk fişi) is generated, indicating the tax due.
Calculation Methods and Financial Impact
Taxpayers can choose one of two methods to determine their net income, which will remain in effect for two years:
Lump-Sum Expense Method: A standard deduction of 15% is automatically applied to the residential rental income remaining after the 47,000 TL exemption. No documentation is required for this deduction.
Real Expense Method: Specific expenses actually incurred for the property (such as repairs, insurance, property tax, interest on loans used to purchase the property) can be deducted from the gross income, provided they are documented.
Calculation Example (Lump-Sum Method)
Tax calculation (using the lump-sum method) for a taxpayer with 200,000 TL total residential income in 2025:
Gross Income: 200,000 TL
Exemption: -47,000 TL
Remaining: 153,000 TL
Lump-Sum Expense (15%): -22,950 TL
Taxable Income: 130,050 TL
Risks and Critical Considerations
The primary risk in rental income taxation is failing to declare income or incorrectly applying exemptions. For instance, claiming the residential exemption for commercial income is a common error. GİB cross-references tax declarations with bank records and tenant data. Under-declaration or non-declaration leads to the loss of the exemption, along with substantial penalties, tax loss penalties, special irregularity penalties, and monthly interest. Taxpayers who select the real expense method must retain their expense documents for a period of five years.
Frequently Asked Questions
When is the rental income tax return filed in Türkiye?
For income earned in the 2025 calendar year, the rental income tax return must be filed between March 1 and March 31, 2026. This is the official tax calendar for the 2026 period.
What is the residential rental income exemption amount for 2025?
The exemption amount for residential rental income obtained in 2025 is 47,000 TL. There is no exemption for commercial property rental income.
How is Turkish rental income tax paid?
The assessed income tax can be paid in two equal installments, with the first installment due by March 31 and the second by July 31, 2026. Payments can be made to tax offices or via authorized banks.
Professional Support
Errors in the rental income declaration process or incomplete declaration can result in tax assessments and penalties. For accurate calculations, maximum utilization of exemptions, selection of the appropriate expense method, and the filing process, you can receive support from the expertise of Vergi Merkezi | Mali Müşavirlik.
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⚠️ Legal Disclaimer: This content has been prepared based on the current legislation in effect as of its publication date. Tax and commercial legislation change frequently; for definitive results, obtain information and support from Vergi Merkezi | Mali Müşavirlik.
📚 Sources and References
Primary Sources
T.C. Resmi Gazete Title: Income Tax Law General Communiqué (Serial No: 324) Date: 30.12.2024 | Number: 32415
Revenue Administration (GİB) Document: 2025 Rental Income Declaration Guide
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