On July 20, 2025, the Grand National Assembly of Turkey adopted Law No. 7555 on Amendments to the Law on Protecting the Value of Turkish Currency and Certain Laws and Decree Law No. 635. This legislation introduced a series of amendments, primarily affecting Labour Law No. 4857, Law No. 5746 on Supporting Research, Development, and Design Activities, and Law No. 4691 on Technology Development Zones.

Among the key changes, the amendment establishes new principles for calculating income tax withholding incentives for design and support employee working in R&D, design, and technology development zones. It also introduces new procedures for written and electronic notifications under the labour law.

The domestic per diem amounts exempt from tax, applicable between July 1, 2025, and December 31, 2025, have been determined based on the coefficients for civil servant salaries for the January-June 2025 period, in line with Annex H of the Central Government Budget Law published in the Official Gazette dated December 31, 2024, No. 32769, and Article 24/2 of the Income Tax Law.

The overseas per diem amounts, effective as of January 1, 2025, have been determined within the framework of the "Decision on Allowances for Travel to the Turkish Republic of Northern Cyprus" and the "Decision on Overseas Allowances" published in the Official Gazette dated January 11, 2025, No. 32779, under Decision No. 9396.

According to the Circular dated July 7, 2025 and numbered 27998389-010.06.02-4098345 published by the Ministry of Treasury and Finance with the subject 'Financial and Social Rights', the coefficients used to calculate the wage of a public officers have been revised effective July 1, 2025.

Income Tax Exempted Child Support

According to the Circular dated July 7, 2025 and numbered 27998389-010.06.02-4098345 published by the Ministry of Treasury and Finance with the subject ‘Financial and Social Rights’, the coefficients used to calculate the wage of a public officers have been revised effective July 1, 2025.

Income Tax Exempted Severance Pay