Jan 11, 2023 1 min read

Turkey Announces 2023 Payroll Parameters

Effective from 1 January 2023, the government of Turkey has increased the Social Security Minimum Wage Amount to 10,008.00 TRY Gross and 8,506.80 TRY Net. The monthly SSI Ceiling Amount has increased to a gross amount of 75,060.00 TRY.

Please find the previous and new amounts in the below table.

SSI Amounts EN VersionSSI Amounts TR VersionPeriod 01-07-2022 31-12-2022Period 01-01-2023 31-12-2023
SSI Minimum Base Amount DailyGunluk Prime Esas Kazanc / SGK / Alt SınırTRY 215.70TRY 333,60
SSI Minimum Base Amount MonthlyAylık Prime Esas Kazanc / SGK / Alt SınırTRY 6,471.00TRY 10.008,00
SSI Ceiling Amount DailyGunluk Prime Esas Kazanc / SGK / Üst SınırTRY 1,617.75TRY 2.502,00
SSI Ceiling Amount MonthlyAylık Prime Esas Kazanc / SGK / Üst SınırTRY 48,532.50TRY 75.060,00

New Social Security Exemption Amounts Announced

In addition, the government of Turkey has announced the following benefit in kind exemption amounts, effective from 1 January to 31 December 2023.

These amounts will impact employees’ Gross Social Security amounts if the employer provides the respective benefits in kind.

SSI Amounts EN VersionSSI Amounts TR VersionPeriod 01-07-2022 31-12-2022Period 01-01-2023 31-12-2023
SSI Child Allowance
Exemption
Çocuk Yardımı İstisnası / SGKTRY 129.42TRY 200.16
SSI Family Allowance ExemptionAile Yardımı İstisnası / SGK TRY 647.10TRY 1,000.86
SSI Meal Allowance Exemption (cash payment)Yemek Yardımı İstisnası / SGK TRY 51.01TRY 78.90
Meal Allowance Exemption (Card / Coupon)Yemek Yardımı İstisnası / SGKTRY 51.01TRY 78.90
Private Insurance + Pension ER Exemption Amounts for SSI BaseOzel sağlık sigortası ve Isveren BES primi istisnası/prime esas kazanç TRY 1,941.30TRY 3.002,40
Heating-Fuel Allowance ExemptionYakacak Yardımı İstisnası / SGKTRY 1,000.00TRY 1,000.00

Changes to Income Tax Brackets and Income Tax Exemptions

The government of Turkey has also announced the following income tax exemption amounts and tax brackets, effective from 1 January to 31 December 2023.

Tax Limits and Exemption Amounts EN VersionTax Limits and Exemption Amounts TR VersionPeriod 01-07-2022 31-12-2022Period 01-01-2023 31-12-2023
15% Tax Amount15% Vergi DilimiTRY 0.00 -32,000.00 TRY 0.00 - 70,000.00
20% Tax Amount20% Vergi DilimiTRY 32,000.01 - 70,000.00 TRY 70,000.01 - 150,000.00
27% Tax Amount27% Vergi DilimiTRY 70,000.01 - 250,000.00 TRY 150,000.01 - 550,000.00
35% Tax Amount35% Vergi DilimiTRY 250,000.01 - 880,000.00 TRY 550,000.01 – 1,900,000.00
40% Tax Amount40% Vergi DilimiTRY 880,000.01 +TRY 1,900,000.01 +
Income Tax Meal Allowance Exemption (cash payment)Yemek Yardımı İstisnası /GVTRY 51.00TRY 110.00
Income Tax Meal Allowance Exemption (Card / Coupon)Yemek Yardımı İstisnası /GVTRY 55.08TRY 118.80 (included %8 VAT)
Stamp Tax Meal Allowance Exemption (cash payment)Yemek Yardımı İstisnası / Damga vergisi-TRY 110.00
Stamp Tax Meal Allowance Exemption (Card / Coupon)Yemek Yardımı
İstisnası /Damga
vergisi
-TRY 118.80 (included %8 VAT)
Transportation (Card) Allowance Tax ExemptionYol Yardımı (Kart) İstisnası / GV.TRY 25.50TRY 56.00
Heating-Fuel Allowance ExemptionYakacak Yardımı
İstisnası / GV
TRY 1,000.00TRY 1,000.00
Disability Exemption for 1. Degree1.Derece Sakatlık İndirimiTRY 2,000.00TRY 4,400.00
Disability Exemption for 2. Degree2.Derece Sakatlık İndirimiTRY 1,170.00TRY 2,600.00
Disability Exemption for 3. Degree3.Derece Sakatlık İndirimiTRY 500.00TRY 1,100.00

The amended rates will apply to all wages and salaries earned after 1 January 2023.

Please contact your Mercans’ services delivery team for any additional information regarding the implications of the above change.

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