Official Implementation of 'Wealth Peace' 2026 in Turkey; 20-Year Tax Exemption for Foreign Assets

Publication of Law 7582 in Turkey's Official Gazette On June 4, 2026, Law No. 7582, which includes extensive changes to tax regulations and the scheme known as 'Varlık Barışı' (Wealth Peace), was published in the Official Gazette of Turkey and officially entered into force [1]. This law, promulgated with the signature of President Recep Tayyip Erdogan, provides a set of stunning tax incentives to attract foreign investors and bring back the capital of Turkish citizens from abroad. This move is recognized as part of the 'Century of Turkey' strategy to transform the country into a global financial hub [4].

20-Year Exemption; An Incentive for Tax Residency Change One of the most controversial and attractive provisions of this new law is the 20-year tax exemption on income derived from abroad. According to this decree, individuals who transfer their tax residency to Turkey, provided they have not been residents in the country for the past three years, will be exempt from income tax on all their foreign earnings (including dividends, capital gains, and passive income) for a period of 20 years [2]. This policy places Turkey directly in competition with financial hubs such as the United Arab Emirates and Singapore [3].

Details of the Wealth Peace Plan and New Pardons Another section of this law is dedicated to the amnesty of undeclared assets. Natural and legal persons have until July 31, 2027, to declare their assets, including cash, gold, foreign currency, and securities held abroad, to Turkish banks or financial institutions [1]. The standard tax rate for these declarations is set at 5%, but the government has announced that to further encourage participation, if these assets are held in specific financial instruments such as government bonds or venture capital funds, the tax rate can be reduced to 0% [2].

Inheritance Tax Reduction and Istanbul Financial Center Incentives In addition to income exemptions, the new law has reduced the inheritance and gift tax rate to a flat 1% for individuals utilizing the 20-year exemption [3]. Furthermore, companies operating in the 'Istanbul Financial Center' (IFC) will benefit from 100% tax exemptions on income derived from transit trade until 2047 [4]. These facilities also include a reduction in corporate tax for exporting manufacturers to 9%, reflecting the government's comprehensive approach to supporting foreign currency inflows [2].

Guarantee of Judicial Security for Investors The Turkish government has guaranteed that for assets declared under the Wealth Peace 2026 plan, no tax audits or legal prosecutions regarding the origin of the property will take place [1]. This 'tax immunity,' combined with the established legal stability, is a clear message to international investors seeking a safe haven for their assets amidst global economic instability [3].