- On December 25, 2025, Turkey’s Presidential Decision No. 10767 was published, reducing the Digital Services Tax (DST) rate from 7.5% to 5% effective January 1, 2026, and further to 2.5% starting January 1, 2027.
- The DST applies to service providers whose revenues from covered digital services in Turkey exceed 20 million Turkish lira and whose global revenues exceed €750 million, regardless of residency status or permanent establishment in Turkey.
- The revised rates will apply to revenues generated from January 1, 2026, with the decision entering into force upon publication and not retroactively affecting prior periods.
Source EY
- The Digital Services Tax (DST) will be reduced from 7.5% to 5% in January 2026, and then to 2.5% in January 2027.
- The phased reduction is in response to pressure from the US, which views the tax as targeting US media companies.
- The DST applies to digital service providers with global revenues over EUR 750 million and local revenues over TRY 20 million.
- The tax mainly affects revenue from online advertising, digital content, and platform services.
Source: vatcalc.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
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