Fight against ghost houses: Radical tax steps by Mehmet Simsek

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While the negotiations on the first tax package continue in the Plan and Budget Commission of the Grand National Assembly of Turkey, the details of the new target of the Minister of Treasury and Finance Mehmet Şimşek have emerged. Şimşek aims to tax especially those with second or more houses and approximately 600 thousand empty houses (ghost houses).

New Tax Obligations for Multiple Property Owners and Empty Houses

Under the new tax package, a gradually increasing additional property tax will be introduced for owners of two or more dwellings. This is intended to incentivise property owners to use their properties more efficiently. Additional property tax will also be levied on empty and unused properties. This step aims to bring ghost houses to the market and increase the supply of housing.

With these measures, the Ministry aims to ensure greater transparency and efficiency in the housing market. This will also help to bring housing prices to more reasonable levels.

Comprehensive Changes in Property Taxation

The second tax package will focus on real estate taxation. Under the new regulations, tax will be levied on the market value of the purchase, sale and rental of residential and office properties. Those who sell their houses within three years of purchase will be taxed twice as much, and those who sell within five years will be taxed once as much. This regulation aims to prevent speculative trading and stabilise the market.

New Steps in Rental Income and Housing Regulations

Penalty amounts will be increased for those who do not declare or under-declare their rental income. This will be done to ensure that rental income is declared correctly. In addition, a rent regulation will be introduced for lodgings. A 20 per cent discount will be applied to the rents of lodgings determined over the market value. The Ministry will carry out rent price research in lodging areas and implement the regulations.

These comprehensive regulations aim to create a fairer and more efficient structure both in the rental market and in the field of property ownership. These steps to be taken to prevent tax evasion and increase housing supply will make significant contributions to Turkey's economic and social structure.

Şimşek's new targets for ghost houses and multiple property owners aim to ensure tax fairness and increase stability in the housing market. With these regulations, property owners are expected to act in a more responsible and efficient manner.