Türkiye: Increased withholding tax rate on gains from non-TEFAS equity-intensive funds
Increased withholding tax rate of 17.5% effective for funds units acquired on or after March 27, 2026
The government on March 27, 2026, published Presidential Decision No. 11107 in the Official Gazette, increasing the withholding tax rate to 17.5% on gains derived from equity‑intensive free investment funds that are not traded on the Turkey Electronic Fund Trading Platform (TEFAS), for fund units acquired on or after March 27, 2026.
By contrast, equity‑intensive funds traded on TEFAS and qualifying venture capital investment funds or real estate investment funds held for more than two years continue to benefit from a 0% withholding tax rate.
For more information, contact a KPMG tax professional in Türkiye:
Erdem Erdem | erdemerdem@kpmg.com