Turkiye: President Decree No. 10767 re-determining digital services tax rate entered into force with grace period

On 25 December 2025, Presidential Decree No. 10767 was published in Official Gazette No. 33118, thereby entering into force with transitional periods. The Decree was adopted under the authority conferred by the third and fifth paragraphs of Article 5 of Law No. 7194, under which the digital services tax rate had been set at 7.5% and could be adjusted at the President’s discretion within a range of 1% to 15%. The Decree re-determined the rate at 5% from 1 January 2026 and 2.5% from 1 January 2027, applies to revenue obtained from the beginning of the year following its publication, and assigns execution to the Minister of Treasury and Finance.