New regulations have been introduced to ensure equal taxation practices for certain businesses, such as hotels, restaurants, and urban passenger transport, across all 30 metropolitan municipalities in Turkey.
The Presidential Decision on Taxpayers Whose Commercial Earnings Are Determined Under the Simplified Procedure, in accordance with the Income Tax Law No. 193, was published in the Official Gazette.
Under the decision, activities such as trade, hotel and restaurant operations — which were already excluded from the simplified taxation regime in 13 metropolitan municipalities — will now also be excluded in the remaining 17, ensuring uniform treatment across all 30 metropolitan municipalities.
Currently, taxpayers taxed under the simplified procedure are exempt from income tax and are not required to file annual income tax returns.
Starting January 1, 2026, urban passenger transport operators in metropolitan areas — including taxis, minibuses, shared taxis (dolmuş), and buses — will no longer be subject to simplified taxation but instead taxed under the real regime.
The change also considers factors such as vehicle license plate values and rental costs, leading to the exclusion of urban passenger transport activities from simplified taxation.
However, in districts with a population below 30,000 — even if located within metropolitan municipalities — taxi operators and other small businesses that meet the conditions will still benefit from simplified taxation.
The government stated that the regulation aims to promote tax fairness and reduce informality in the economy.
The new rules will come into effect on January 1, 2026.
Source: Patronlar Dünyası/ Prepared by: İlayda Gök