Turkish authorities eliminated to VAT for the purchase of residential property for foreign citizens, hoping that it will increase the interest to the local real estate, says Hurriyet Daily News.

The law was approved on 23rd of February by the Turkish Parliament - and also will act with respect to the Turkish citizens, who lived and worked abroad for more than six months.

Under the new law, foreign nationals will be exempt from VAT on the purchase of a first home or office in Turkey. Payment facilities should be carried out in foreign currency - and they cannot be sold within one year from the date of purchase.

“Tax exemption for foreigners who buy houses in Turkey is a very wise move. This will give a serious boost to the sector,”- said Nazmi Durbakayım, the head of the Istanbul Constructors’ Association.

Domaza - Properties