The değerli konut vergisi (valuable residential property tax) is a progressive surtax paid on homes whose bina vergisi değeri (building tax value) exceeds a threshold set by the Ministry. It was introduced in December 2019 under Law No. 7194 and has been applied since 2020. It is a separate obligation from the emlak vergisi (property tax): it requires a tax return every year and covers only homes with high tax values.
If you are thinking of buying an upper-segment home, or you have noticed the figures on the property tax receipt from your municipality growing fast, knowing this tax's threshold and calendar will make your life easier. Who pays it, how the threshold is determined, what a single-home owner should do — we have gathered it all below.
What is the valuable residential property tax and who pays it?
The tax is paid by the owner of a home whose building tax value exceeds the threshold. The taxpayer can be an individual, but equally a company or an entity without legal personality; the person shown as owner on the tapu (title deed) is the liable party — or, if one exists, the holder of an intifa hakkı (right of usufruct). If the home is rented out, the payment falls to the owner, not the tenant.
The critical point on scope is this: the tax applies to buildings classified as dwellings in the property tax classification. Villas, detached houses, apartments in residence blocks, duplexes… Every structure registered in the residential class falls within its scope. Workplaces, offices, building plots and land are unaffected by this tax; for them, only the property tax applies.
For anyone with more than one home, each home is compared against the threshold separately. Homes that do not exceed it require neither a return nor a payment. And for homes that do, the tax is applied not to the home's entire value but only to the portion above the threshold. This distinction is what confuses people most.
What is the threshold amount in TRY?
The Hazine ve Maliye Bakanlığı (Ministry of Treasury and Finance) resets the threshold every year; in 2020, the tax's first year of application, it was set at TRY 5,000,000. In the years that followed, the threshold was raised in line with revaluation rates. So while at the outset we were talking about a limit that caught only homes that could genuinely be called luxurious, the high-inflation years have pushed it considerably upward.
I am not quoting the current year's figure here, because the threshold changes annually and there is only one authoritative source: the Değerli Konut Vergisi Rehberi (Valuable Residential Property Tax Guide), updated every year by the Gelir İdaresi Başkanlığı (GİB, the Turkish Revenue Administration). The guide contains the current threshold, the rate table and worked examples. Before filing a return, always check the figure there.
One more distinction worth clarifying: the comparison is made against the building tax value, not the market sale price. A home listed at TRY 30 million on SahibindenSat may correspond to a far more modest figure in its building tax value, which is calculated on a square-meter cost basis. So rather than worrying at the sight of the asking price, look at the municipal records and your title deed.
How is the building tax value determined?
The building tax value is set by municipalities under the Emlak Vergisi Kanunu (Property Tax Law). These values were reassessed across Turkey in 2022, and since then they have been increased every year by the revaluation rate. The calculation is based on the building's construction area, its class (steel, mixed, reinforced concrete, masonry and the like) and its age. The detailed valuation rules are explained in the GİB's Property Tax Guide.
There are three easy ways to learn your own home's value: check your property tax receipt or your first tax return, ask the municipality, or — in some municipalities — query it through e-Devlet (Turkey's e-government portal).
Let's see how it works with a simple scenario. Suppose this year's threshold is TRY 10 million — the figure is purely illustrative, and you should confirm the current amount from the guide. If your home's building tax value is TRY 12 million, the taxable amount — the matrah (tax base) — becomes TRY 2 million. Since the tax base in this example sits well below 5.2 times the threshold, the lowest band rate of 3 per thousand (0.3%) applies: an annual tax of TRY 6,000, paid in two installments of TRY 3,000 each in March and August. As the tax base grows, so does the rate; the law has built bands that rise at break points such as 5.2, 9.2 and 13.2 times the threshold. The full, current rate table is again in the GİB guide.
Do owners with a single home pay the valuable residential property tax?
No. In Turkey, a taxpayer with only one home is exempt from this tax; even if that home's building tax value exceeds the threshold, no payment is due. This provision of the law was designed to protect the single-home owner.
There are two fine points. First: if you acquire a second home, the exemption disappears. What's more, if you own two or more homes and only one of them exceeds the threshold, you file a return for that home alone. Second: how the single-home assessment is carried out — in particular how homes registered in the names of a spouse or minor children are treated — is explained in detail in the implementation guide. If there is more than one home in your family, do not make any decisions before reading that section.
When is the return filed and how are the installments paid?
The tax period is the calendar year. The return must be filed by the end of February 15 of the following year, and the tax is paid in two equal installments in March and August. For example, the return for the 2025 period will be filed within February 2026.
The routine we know from the property tax — file once, then just pay each year — does not work here. With the valuable residential property tax, a fresh return is required every year; you can also submit it online through the GİB's electronic services. The soundest approach is to follow the GİB's announcements for each year's exact dates.
Skipping the return can carry penalties. If you are unsure whether you cross the threshold, find out your building tax value before February arrives and consult a mali müşavir (certified tax advisor) or the tax office. This article is for general information only; for personal circumstances, professional support is essential.
What is the difference between the valuable residential property tax and the property tax?
The short answer: a tax with a narrow scope, higher rates and annual filing. Both are paid on the same home; the valuable residential property tax does not replace the property tax. Let's set the differences out one by one:
- Scope: The property tax applies to every building, plot and piece of land; the valuable residential property tax only to homes that exceed the threshold.
- Rate: Under the property tax, the residential rate is fixed and low — 2 per thousand (0.2%) in metropolitan municipalities, 1 per thousand (0.1%) elsewhere. The valuable residential property tax is progressive and starts at 3 per thousand (0.3%).
- Filing: With the property tax, a return is filed once, upon acquisition or a change in value; with the valuable residential property tax, a return is required every year.
- Calendar: The property tax is paid in May and November; the valuable residential property tax in two equal installments in March and August.
- Authority: For the property tax, your counterpart is the municipality; for the valuable residential property tax, it is the tax office.
From a buyer's perspective, the real issue is this: when evaluating an upper-segment home, the possible valuable residential property tax must be added to the annual cost alongside the property tax. Which side of the threshold does the building tax value sit on, what will the tax base be, which band will it fall into — without answers to these three questions, any budget you draw up will be incomplete.
Frequently asked questions
When did the valuable residential property tax come into force?
It was introduced in December 2019 under Law No. 7194. The first tax period was 2020, and the first returns were filed in February 2021.
Does the threshold amount change every year?
Yes. The threshold, set at TRY 5,000,000 for 2020, has been updated in the following years with the revaluation rates. Confirm the current figure from the GİB's Valuable Residential Property Tax Guide.
Does the valuable residential property tax replace the property tax?
No. The two are separate taxes, and the owner of a home above the threshold pays both. The property tax is paid to the municipality; the valuable residential property tax is paid through a filed return.
Where can I find out my building tax value?
From your property tax receipt, your first tax return, your municipality, or — in some municipalities — through e-Devlet. If there has been an update to the value, the municipal record is taken as the basis.
What are the rates under the valuable residential property tax?
The tax is progressive; 3 per thousand (0.3%) applies in the first band, and the rate rises as the tax base grows. The current band and rate table is published in the GİB guide.
One last reminder: the threshold, rate and calendar information here reflects the rules as of the date this article was prepared. Because the amounts under the valuable residential property tax change every year, we recommend confirming the figures from the GİB's current guide, and if necessary from the tax office, before filing a return.