Regulations on the Leasing of Properties for Tourism Purposes
The procedures and principles regarding the leasing of residential properties for tourism purposes to real and legal persons are regulated under the Law on the Leasing of Properties for Tourism Purposes and Amendments to Certain Laws Numbered 7464 ("the Law") which was published in the Official Gazette on 2 November 2023. The Law has entered into force on 1 January 2024.
On 28 December 2023, the Regulation of the Activities Regarding the Leasing of Properties for Tourism Purposes (“the Regulation”) is published in the Official Gazette, which has provided further information regarding the new application.
In the first subparagraph of Article 339 of the Turkish Code of Obligations Numbered 6098 (“TCO”), it is stated that the provisions of the TCO on residential and roofed workplace lease agreements shall not apply to the lease of immovable properties that are dedicated to temporary use for six months or less. Before the publishing of the Law, the general lease provisions of the TCO were applicable to leases for tourism purposes for a period of less than 6 months.
The Law regulates the leasing of residences for tourism purposes for less than 100 (one hundred) days at a time. Although the Law points out the leases for tourism purposes, if lessors lease their residences for up to 100 days for any purposes, the lease in question will be considered for tourism purposes and will be included within the scope of the Law. Thus, the Law defines the leasing of residences for less than 100 (one hundred) days at a time as "leasing for tourism purposes" and also introduces a number of important obligations for lessors, agencies and intermediary service providers that enable electronic commerce and promotion of such leases, and administrative sanctions are implemented for violations of these obligations.
The obligations for lessors are expressly set forth under the Regulation. The Regulation covers the procedures to be applied for applications for permission certificates for the leasing of residences for tourism purposes to domestic or foreign persons for a period of 100 (one hundred) days or less than 100 (one hundred) days at a time, the qualifications of the residences to be leased, the provisions to be complied with by the permit certificate holders, and the mutual rights and obligations of the tenants and the permit certificate holders.
HABERLER & YAYINLAR
Determination of the Acquisition Date for Gains from Appreciation
Pursuant to the Repeating Article 80 titled "Gains from Appreciation" of the Income Tax Law No. 193 ("Law"), it is regulated that the gains arising from the disposal of certain goods and rights specified in the Law are considered as gains from appreciation and these gains are taxable income.
HABERLER & YAYINLAR
Tax and Fee Exemptions Introduced by Law No. 6306 and VAT Advantages
Although a large part of Türkiye is under the risk of natural disasters, especially earthquakes, most of the existing buildings are not resistant against possible disasters, thus socio-economic problems are experienced and State is faced with financial burdens unexpectedly that are difficult to overcome.
According to the Regulation, once the documentation set forth under the Regulation have been prepared completely and accurately, the application shall be completed via “e-Devlet” (e-Government) system. Applications made in physical form shall not be taken into consideration.
The residence subject to the application must fulfil certain standards set forth under the Regulation regarding basic living spaces, fire safety measures and housing capacity. A copy of the permit must be shared in the promotion and marketing of the residence. In addition, these promotions must include detailed information about the property and avoid misleading the consumer. The permit holder must ensure that the property meets the qualifications listed in the Regulation, and is regularly cleaned and maintained. Permit-certified residences shall be regularly inspected in accordance with the Regulation and various administrative sanctions may be imposed in cases of non-compliance.
