Yet another New Tax Madness???

[saoirse]

If this comes to pass it will surely put many off even considering buying in Turkey

Basically you must pay tax on any increase on your house value- even if you aren't selling!!!!!


http://www.todayszaman.com/columnist/berk-cektir_344128_a-new-tax-on-property-value-gains.html

[stoop]

Madness if it comes into law! It will not only put buyers off but also those who want to improve their homes. Why would they if they will have to pay more tax?

[sadler]

How will they base the valuation, hopefully not on the amount specified in the tapu! 

[stoop]

No they will send a man round with a big book and a little helper to carry it for him  

[sadler]

But surely, wouldn't they require an original valuation to estimate the growth/loss to date!  We have had our apartment for 8 years and it would probably sell now for slightly lower than the original purchase price, however, the price on the tapu is about one third of that!  That would leave us up the kanal without a paddle. 

[Jack13]

does this apply to only ex pats?

[nichola]

"The minister, speaking to the Hurriyet daily, said: “We are working on a system that means the public gets its share from the gains in urban development. For instance, if you have a house and the value of the house jumps to TL 200,000 from TL 100,000, then the gains should be shared with the public. This will be a new source of income for the public and a fair regulation.” In this case, whether you sell your house or not, you will be required to pay tax?"

WHY on earth - did the "public" contribute towards the cost of buying, improving and maintaining the house. What complete and utter nonsense! Government gone mad!

[Rimms]

It's a total non starter this one, the law of averages probably applies to 99% of the countries housing stock will see it appreciate in value over time! whether it's Fethiye's top restaurant, a luxury villa or a cow shed in Kargi. Even if a building falls into disrepair, the land value may well have increased substantially which will reflect in the value of the property. This is nothing but a vote looser from a completely out of touch and amateur government and what's more, in a country that is renowned to be very lacking when it comes to planning and organisation, who the hell is going to carry out these annual valuations? Even if they sort that out, which I doubt, there will have to be an appeals process (they are big on appeals here) which will clog up and cripple the court system.

My advice is stay calm and carry on.

[Jack13]

once again I ask the question. does this apply to turks ?

[JohnF]

Of course it does.  You surely don't think the Turkish government would pass a discriminatory law do you?

JF