Turkey President Granted Power To Tax Crypto Users Up To 20%

Turkey’s ruling AK Party has introduced a sweeping economic bill that would formally bring cryptocurrency gains under the country’s tax regime, marking one of Turkey's clearest moves yet to integrate digital assets into its financial system.

The draft legislation, now before the Turkish Grand National Assembly, proposes a 10% withholding tax on crypto gains generated through regulated platforms. The tax would be deducted quarterly, regardless of whether the investor is an individual or a company, resident or non-resident. If passed, the measure would significantly reshape how trading profits are treated in one of the world’s most active retail crypto markets.

One of the most consequential elements of the proposal is the authority it grants the president to adjust the tax rate. While the baseline is set at 10%, the president would have the power to reduce it to 0% or increase it to as high as 20%.

The rate could be adjusted depending on factors such as the type of crypto asset involved, how long it was held, who issued it, or even the type of wallet used. This built-in flexibility effectively gives the Turkish government a dynamic policy lever to influence different segments of the digital asset market.

Beyond capital gains taxation, the bill introduces a 0.03% transaction tax on crypto service providers, applied to the sale amount or market value of assets they facilitate. Platforms would also be responsible for maintaining accurate user records for tax verification purposes.

Investors who trade outside licensed platforms would be required to declare their gains annually, expanding oversight beyond regulated exchanges and closing potential reporting gaps.

To prevent double taxation, crypto deliveries that are already subject to the transaction tax would be exempt from value-added tax. If approved, the crypto-related provisions would take effect two months after publication.

Turkey has long ranked among the most crypto-active countries globally, driven in part by currency volatility and strong retail demand for alternative stores of value.

This new bill suggests the country is shifting from passive tolerance to structured fiscal integration. Rather than restricting access outright, the government appears focused on formalizing oversight and ensuring that digital asset activity contributes to state revenues.

For traders and platforms alike, the message is becoming clearer: Turkey’s crypto market is entering a more regulated, tax-defined era — and the rules of engagement are about to change.