Q & A - TURKISH CITIZENSHIP FOR INVESTORS
Q & A - TURKISH CITIZENSHIP FOR INVESTORS
The process of how investors acquire Turkish citizenship was first organized in 2017 and was recently renewed on 18/09/2018. Some changes have been made in the regulation, which facilitating the acquisition of Turkish citizenship for investors.
For a better understand of the process for acquiring Turkish citizenship as an investor, here are some of the key points in the Q & A system.
QUESTION 1 - At what time the property for the acquisition of Turkish citizenship should be purchased and can also properties that were bought before be used for the application?
ANSWER 1 - According to the provisions of the relevant law, the property must requiring a value of 250,000 USD and has been bought after the date of the law on 18.09.2018.
To apply for citizenship on previously purchased properties, that real estate must have a total value of at least $ 1,000,000.
QUESTION 2 - Does the family of the acquirer of Turkish citizenship also receive citizenship?
ANSWER 2 - Only the wife and children under the age of 18 can get the Turkish citizenship. If there are more than one marriage partners, one has to be selected. This marriage partner must give a notarial advice for the minor children of the other spouses. Children over the age of 18 cannot apply for citizenship but they are getting to a permanent residence permission.
QUESTION 3 - Can I only pay in dollars when I’m buying a property?
ANSWER 3 - No, it can also be paid at the time of purchase according to the current exchange rate in Turkish Lira.
QUESTION 4 - Has the persons who is applying for Turkish citizenship to stay in Turkey for a certain period of time?
ANSWER 4 - No, the persons who is applying for citizenship or who has already been naturalized has not to stay in Turkey.
QUESTION 5 - How is the value of the purchased property determined?
ANSWER 5- The market value of the property is determined by a real estate appraisal company authorized by the Capital Market Committee at the time of the purchase of the property.
For this purpose, the copy of the land register document will be sent to the company and within 10 days the company will set up an appointment to inspect and evaluate the property.
The company will take photos during the visit, inspect the surroundings and check the entry at the Land Registry. Then the company will hand over an official real estate appraisal report with the real current value.
QUESTION 6- How does the procedure continue after the Property Valuation Report?
ANSWER 6 - A note will be added in to the land register that the property cannot be sold for at least three years. With this notification and after the completion of all other institutions, the citizenship application can be filed.
QUESTION 7 - When can I sell the property after receiving citizenship?
ANSWER 7 - 3 years after the notification in the land register that the property cannot be sold for at least 3 years, the property can be sold to a local person or foreigner.
QUESTION 8 - Can Turkish citizenship be applied if the property was acquired together with another person?
ANSWER 8 - Yes, the application can be done, but the applicant's divisional value must be at least $ 250,000 of the asset.
QUESTION 9 - Can the application for citizenship be made for purchased properties which are paid but not registered in the land register yet?
ANSWER 9 - No, that is not possible.
QUESTION 10 - Can I apply for the citizenship with a property which has been bought before the date of the law but when it is sold and taken over again?
ANSWER 10 - Yes. The law states "real estate acquired after 18.09.2014" and it is not determined how they were purchased. In addition, the government will gain taxes with the purchase of this property, thereby the goal of the law is achieved, and there is no longer any objection.
QUESTION 11 - Can the applicant still keep the citizenship of another country?
ANSWER 11 - In order to acquire Turkish citizenship, it is not necessary to file away another citizenship; even it can be applied for a citizenship of a third country.
QUESTION 12 - If citizenship is applied by investing money at a Turkish bank, has the applicant to deposit Turkish lira or dollars at the bank?
ANSWER 12 - A minimum of US $ 500,000 or equivalent another foreign currency or Turkish Lira must be deposited in a Turkish bank. Furthermore, this sum must be blocked for at least 3 years. With the confirmation document of the blocked amount at the Turkish bank the applicant can apply for citizenship.
QUESTION 13 - Can I redeem a part of the paid and blocked money or use that sum as a deposit for a loan at the bank?
ANSWER 13 - Nothing can be take out from the blocked money, but if the bank grants, the sum can be used as a guarantee for a bank loan.
QUESTION 14 - Can I buy a property with the fixed and blocked money on the bank?
ANSWER 14 - Yes it is possible, but only with the condition that the property cannot be sold for at least 3 years.
QUESTION 15 - Are there to be paid taxes for the financial investment amount at the bank?
ANSWER 15 - If you are getting interest income for the financial investment, taxes are payable.
According to the current situation, you are getting an interest income of 24% per annum, which gives 72% for 3 years. For the total interest income of 72% are to pay taxes of 15%. (The interest rate is based on today’s regulation, but this interest rate may change in the coming years)
QUESTION 16 - How can I acquire for the Turkish citizenship as a company owner?
ANSWER 16 - The citizenship law states that for company owners an investment of $ 500,000 is eligible.
Investment in fixed assets means the expenditure on the production of durable goods, for example, for buildings and machinery which are used during production.
If there is more than one partner in the company, the applicant's equity must be at least $ 500,000, according to the equity interest of the company.
In addition, the employer employing 50 insured employees is also entitled to naturalization. The law, however, does not contain any details.
QUESTION 17 - How long does it take to apply for Turkish citizenship?
ANSWER 17 - At the moment the processing is about 4 months.