Can I Apply for Turkey’s 20 Year Tax Exemption in 2027 or 2028?

The short answer is yes. Turkey’s 20-year foreign-income tax exemption is not limited to people becoming resident in 2026. The legislation applies to qualifying individuals who are first considered Turkish tax resident from 1 January 2026 onwards. Someone becoming resident in 2027, 2028 or a later year can qualify, provided the conditions are met and the EK-1 Exemption Certificate is obtained on time.

The application deadline is personal. It is tied to the calendar year in which each applicant becomes Turkish tax resident. It is not a general deadline bringing the whole regime to an end.

The Misunderstanding About February 2027

When the reform was introduced, many people understood that everybody had to apply by the end of February 2027. That is not what the official rules say.

The end-of-February extension applies only to a person who becomes Turkish tax resident during the final two months of a calendar year: November or December. A person becoming resident earlier in the year must normally obtain the certificate by 31 December of that same year.

When Turkish Tax Residence Begins	Normal Deadline for EK 1
January to October	31 December of the same calendar year
November or December	Last day of February in the following calendar year

For example, someone who becomes resident in April 2027 must normally obtain the EK-1 certificate by 31 December 2027. Someone who becomes resident in November 2027 has until the end of February 2028.

What is The EK 1 Exemption Certificate

The EK-1 document is formally called the Yurt Dışından Elde Edilen Kazanç ve İratlar İçin İstisna Belgesi. In English, this means the Exemption Certificate for Income and Gains Obtained Abroad.

It is the formal certificate issued by the competent Turkish tax office after it checks whether the applicant satisfies the conditions. The exemption should not be treated as automatic simply because someone believes they qualify. The applicant must apply within the permitted period and obtain the certificate.

The tax office will examine whether the applicant:

• is considered resident in Turkey by the date of application;
• had a Turkish domicile during any of the three preceding calendar years;
• had a type of Turkish tax liability during those years that prevents qualification; and
• submitted the application within the statutory deadline.

The certificate concerns qualifying income and gains arising outside Turkey. Turkish-source income remains subject to the normal Turkish tax rules.

There is No Stated Final Entry Year

The law and the implementing communiqué do not state that only people arriving in 2026 can use the exemption. They say that qualifying individuals considered resident in Turkey from 1 January 2026 onwards may benefit.

The official communiqué removes much of the doubt by giving an example of a person becoming resident on 2 March 2028. The person in that example is refused a certificate only because the application was delayed until 2030, not because 2028 was too late to enter the regime.

First Year of Turkish Tax Residence	Three Preceding Calendar Years Examined	Normal EK 1 Deadline
2026	2023, 2024, 2025	31 December 2026
2027	2024, 2025, 2026	31 December 2027
2028	2025, 2026, 2027	31 December 2028
2029	2026, 2027, 2028	31 December 2029

If residence begins in November or December, replace the deadline in the final column with the last day of February in the following year.

Owning Property in Turkey Does Not Disqualify You

This may be the most important point for existing holiday-home owners and investors. Buying or owning a home in Turkey does not, on its own, mean that the owner has become Turkish tax resident. Paying annual property tax is also not the same as being resident for income-tax purposes.

The legislation goes further. Previous Turkish tax liability arising only from Turkish rental income, investment income or a capital gain does not automatically prevent the person from obtaining the exemption. This protects many non-resident owners who correctly declared income from a Turkish property before later deciding to relocate.

However, the person must still satisfy the separate domicile and residence tests. Previous tax liability relating to employment, commercial activity or professional services can also produce a different result. Each applicant’s history must therefore be checked carefully.

Property Ownership is Not the Same as Tax Residence

Several dates may appear in a foreign buyer’s Turkish records, but they do not necessarily establish the same legal event:

• the date the property was purchased;
• the date a residence permit was issued;
• the date an address was registered;
• the date the person began spending most of the year in Turkey; and
• the date the person became resident under Turkish law and any applicable double-taxation treaty.

The EK-1 deadline depends on when the person is legally considered to have become Turkish tax resident. Establishing that date before the move is therefore essential.

Practical Examples

Example 1: A Bodrum Holiday Homeowner Moves Permanently in 2027

A British couple purchased a Bodrum holiday home in 2022. They used it for short holidays but continued living and paying tax in the United Kingdom. They move permanently to Turkey in April 2027 and become Turkish tax resident that year. Their property ownership does not disqualify them. The tax office will examine 2024, 2025 and 2026. If they had no Turkish domicile or disqualifying tax liability during those years, they may apply. Their normal EK-1 deadline would be 31 December 2027.

Example 2: A Non-resident Owner Previously Declared Turkish Rental Income

An overseas investor owned an apartment in Istanbul and declared rental income in Turkey while remaining non-resident. She later becomes Turkish tax resident in 2028. A previous tax registration solely for Turkish rental income does not automatically prevent qualification. Her relevant review years would be 2025, 2026 and 2027, but the facts relating to domicile, residence and any other Turkish income must still be checked.

Example 3: A Former Owner Declared a Turkish Capital Gain

A foreign owner sold a Turkish property before moving to Turkey and declared a taxable capital gain. That limited tax liability is one of the categories that does not automatically block the exemption. The remaining conditions and application deadline still apply.

Example 4: A Person Worked in Turkey During a Review Year

A person plans to become resident in 2028, so the tax office examines 2025, 2026 and 2027. During 2026, that person worked for a Turkish employer or carried on a Turkish business. Unlike a tax registration limited to rental, investment or capital-gain income, this may prevent the certificate from being issued. Specialist advice is needed before relying on the exemption.

Example 5: A Person Becomes Resident in November

A qualifying applicant becomes Turkish tax resident in November 2027. Because residence begins in one of the final two months of the calendar year, the person has until the last day of February 2028 to apply for the EK-1 certificate.

Example 6: A Qualifying Person Applies Too Late

A person becomes resident on 2 March 2028 but waits until May 2030 to apply. Even if the 2025, 2026 and 2027 history is otherwise clean, the application is outside the permitted period. This follows the official example in General Communiqué No. 333: missing the deadline can mean losing the exemption.

Example 7: Someone Already Resident in 2026 Waits Until 2028

A person was already legally resident in Turkey during 2026 but does not apply. They cannot simply select 2028 as a more convenient entry year. The key year is when the person first became resident, and the application period runs from that year.

Example 8: A Residence Permit Holder who Remained Treaty Resident Abroad

A property owner held a Turkish residence permit but continued living mainly overseas. A residence permit alone does not conclusively determine tax residence. The person’s home, days in Turkey, centre of vital interests and the applicable double-taxation treaty may all matter. This is precisely the type of case in which the residence date should be established professionally before an EK-1 application is made.

What Income Can the Exemption Cover

Subject to the source rules and the individual facts, qualifying foreign-source income may include income such as overseas property rent, foreign bank interest, dividends from foreign companies and gains from foreign assets. The exemption does not turn Turkish-source income into foreign-source income simply because it is paid through an overseas account.

Income from Turkish property, a Turkish company or work physically performed in Turkey can remain taxable in Turkey under the normal rules. The source of each income stream should be reviewed separately.

Why the Residence Date Should be Planned Before Moving

For internationally mobile families, determining the residence year can affect both the three-year historical review and the EK-1 deadline. A move made without tax-residence planning can create uncertainty or cause an application period to be missed.

Before relocating, an applicant should map their travel days, homes, address registrations, residence permits, Turkish income declarations, employment and business activity. They should also identify the relevant double-taxation treaty. The objective is not to choose an artificial date, but to establish the correct legal date and preserve evidence supporting it.

Frequently Asked Questions

Can I apply for the 20 year exemption in 2027?

Yes. A qualifying person who first becomes Turkish tax resident in 2027 can apply. The tax office would normally examine 2024, 2025 and 2026, and the standard deadline would be 31 December 2027.

Can I apply if I become resident in 2028?

Yes. General Communiqué No. 333 expressly uses an example involving residence beginning in March 2028. The relevant preceding years would be 2025, 2026 and 2027.

Does the regime have a closing date?

The current legislation states that qualifying people becoming resident from 1 January 2026 onwards may benefit. It does not state a final entry year. Future legislation could, of course, change the regime.

What is the EK 1 certificate?

It is the formal certificate issued by the competent tax office confirming access to the foreign-income exemption, subject to the law and the accuracy of the applicant’s facts. It must be obtained within the applicable deadline.

Do I have until February of the following year to apply?

Only if you become Turkish tax resident in November or December. If residence begins between January and October, the normal deadline is 31 December of that same year.

Does owning a Turkish holiday home prevent me from qualifying?

No. Property ownership alone does not automatically create Turkish tax residence or disqualify an applicant. Domicile, physical presence, treaty residence and tax history must still be reviewed.

What if I previously paid Turkish tax on rental income?

Previous tax liability solely because of Turkish rental income does not automatically prevent qualification. The same statutory protection applies to certain Turkish investment income and capital gains. Other income or a Turkish domicile during the review years may change the outcome.

Does a Turkish residence permit make me tax resident?

Not by itself in every case. Immigration residence and tax residence are related but distinct concepts. The domestic rules and, where relevant, a double-taxation treaty must be considered.

Can I apply late if I did not know about EK 1?

The communiqué states that an application made after the permitted period will not receive the certificate. Anyone who may qualify should establish the residence date and deadline immediately.

Does the exemption cover income earned in Turkey?

No. The exemption applies to qualifying income and gains obtained outside Turkey. Turkish-source income remains subject to the applicable Turkish tax rules.

Does the exemption mean no tax is payable anywhere?

No. The source country may continue taxing the income. Foreign tax paid on exempt income cannot be offset against unrelated Turkish income tax. Cross-border advice is essential.

James & Aysegul: Our View

For foreign property owners, investors and families considering a future move, this is much broader than a one-off 2026 opportunity. The official guidance shows that later entrants can qualify and that historic ownership of a Turkish property, or correctly declaring certain Turkish investment income, does not automatically close the door.

The risk lies in assuming that property ownership, a residence permit and tax residence are all the same, or in discovering the EK-1 deadline after it has passed. The sensible approach is to establish the tax-residence date and review the previous three calendar years before completing the relocation. If you are unsure whether you qualify, contact us today.

Important Professional Advice

This article provides general information and is not personal tax or legal advice. Eligibility depends on individual residence, domicile, income and treaty facts. Applicants should obtain advice from a Turkish tax professional experienced in international residence and secure written confirmation appropriate to their circumstances.