What Is the Revaluation Rate for 2026 and How Does It Affect Businesses?

At the end of each year, numerous amounts, ranging from tax penalties to invoice thresholds, are recalculated and updated. These changes can have a direct impact on businesses' financial planning and budgets. So, what exactly does the revaluation rate mean, what criteria is it based on, and what changes should businesses expect in 2026? In this guide, we bring together the key points businesses should know and the main items to review when preparing for the new year.

The revaluation rate applicable in 2026 is 25.49%. Since the rate is named according to the year in which the calculation is based, its official designation is "the revaluation rate determined for 2025." The "revaluation rate determined for 2026," which will be announced in November 2026, will apply in 2027. This page will be updated once the new rate is officially announced.

In brief: The revaluation rate applicable in 2026 is 25.49%. The rate was established by Tax Procedure Law General Communiqué No. 585, published in the Official Gazette dated November 27, 2025, No. 33090. Tax penalties, exemptions, and fixed amounts were updated based on this rate, while fees, stamp duty, and Motor Vehicle Tax (MTV) were increased by 18.95%.

What Is the Revaluation Rate?

Definition: The revaluation rate represents the average increase in the Domestic Producer Price Index (D-PPI/Yİ-ÜFE) over the previous 12-month period as of October. The Ministry of Treasury and Finance announces the rate every November. Fixed thresholds and amounts, penalties, and exemptions specified under tax legislation are generally updated according to this rate in the following year.

The legal basis for the revaluation rate is Article 298 (repeated) of the Tax Procedure Law (VUK). When monetary amounts stipulated in legislation remain unchanged for long periods, they gradually lose their real value due to inflation. For example, if the daily TRY 240 meal exemption were never updated, rising prices would effectively reduce the real value of the employee's tax-free meal benefit. Likewise, tax penalties could lose their deterrent effect. The revaluation mechanism is designed to compensate for this erosion each year.

Main Areas Where the Revaluation Rate Is Used

Fixed thresholds and amounts: Invoice issuance limits, the threshold for fixed assets that can be directly expensed, and passenger vehicle expense limits.
Tax penalties: Minimum and maximum amounts applicable to irregularity and special irregularity penalties.
Income tax: Tax brackets as well as meal and transportation exemptions.
Fixed taxes: Fees, stamp duty, and Motor Vehicle Tax (MTV). The President may determine a different rate for these items.
Asset valuation: Revaluation of real estate and depreciable economic assets under repeated Article 298/Ç.

What Is the 2026 Revaluation Rate?

The revaluation rate applicable in 2026 is 25.49%. This is considerably lower than the 43.93% rate applied in 2025. The rate was published through Tax Procedure Law General Communiqué No. 585 in the Official Gazette dated November 27, 2025, No. 33090, and took effect on January 1, 2026.

The main source of confusion concerns the naming of the rate. The revaluation rate is announced using the year in which the underlying price increase is measured, but it is applied in the following year. The distinction can be seen clearly in the table below.

Year of application	Year measured (official designation)	Rate
2027	Determined for 2026	To be announced in November 2026
2026	Determined for 2025	25.49%
2025	Determined for 2024	43.93%
2024	Determined for 2023	58.46%
2023	Determined for 2022	122.93%

Therefore, when you search for the "2026 revaluation rate," the 25.49% figure you see is officially referred to in the relevant documents as the "revaluation rate determined for 2025."

Source: Revenue Administration – Tax Procedure Law General Communiqué No. 585 (Official Gazette, November 27, 2025, No. 33090).

How Is the Revaluation Rate Calculated?

The main data used to determine the revaluation rate is the Domestic Producer Price Index (D-PPI/Yİ-ÜFE) published by TÜİK, the Turkish Statistical Institute. Consumer Price Index (CPI/TÜFE) data is not used in this calculation.

The rate is calculated based on how much the average D-PPI for the 12-month period ending in October has changed compared with the average of the previous 12-month period.

The calculation process generally works as follows:

Calculate the average D-PPI for the latest 12-month period, covering November of the previous year through October of the current year.

Calculate the average D-PPI for the preceding 12-month period.

Divide the latest average by the previous average, subtract 1, and multiply the result by 100. The resulting figure is the revaluation rate.

Multiply the amount to be updated by 1 + the revaluation rate.

Example: If an amount was TRY 100,000 in 2025, its theoretical value in 2026 after applying a 25.49% revaluation would be:

100,000 × 1.2549 = TRY 125,490

However, official amounts stipulated by legislation may not always match this straightforward mathematical calculation. Communiqués may apply rounding rules, and certain amounts may be subject to lower increases under powers granted by law.

For example, a special irregularity penalty with a minimum amount of TRY 14,000 in 2025 would mathematically become TRY 17,568 after applying the 25.49% rate. However, the official amount for 2026 was set at TRY 17,000. For this reason, businesses should rely on the amounts officially announced in the relevant communiqués rather than their own calculations.

Key Takeaways

The current revaluation rate is 25.49%. The rate is announced under the name of the year in which the price increase is measured and applied in the following year.
The revaluation rate is calculated based on the average 12-month increase in D-PPI rather than CPI.
Tax penalties, exemptions, and fixed amounts are generally updated according to the revaluation rate, while a different increase may be applied to fees, fixed stamp duty amounts, and MTV.
Due to rounding rules and specific powers provided under legislation, the calculated amount may differ from the official amount. Therefore, the latest figures published in official communiqués should be used.
Revaluation rates announced for provisional tax periods are used only for valuations carried out during the relevant period. Invoice thresholds, exemptions, and penalty amounts do not change throughout the year based on these rates.
The revaluation rate affects invoice thresholds, tax penalties, exemptions, and certain expense items each year.

How Does the Revaluation Rate Affect Businesses?

The 2026 revaluation rate resulted in increases across many financial items relevant to businesses, including invoices, payroll, vehicle expenses, and tax penalties. The following table compares 10 key items that are particularly relevant to SMES:

Item	Legal basis	2025	2026
Invoice issuance threshold	VUK 232	TRY 9,900	TRY 12,000
Threshold for fixed assets that can be directly expensed	VUK 313	TRY 9,900	TRY 12,000
Minimum special irregularity penalty (first detection)	VUK 353/1	TRY 14,000	TRY 17,000
Daily meal exemption	GVK 23/8	TRY 240	TRY 300
Daily transportation exemption	GVK 23/8	TRY 126	TRY 158
Income tax brackets (employment income)	GVK 103	TRY 158,000 / 330,000 / 1,200,000 / 4,300,000	TRY 190,000 / 400,000 / 1,500,000 / 5,300,000
Monthly passenger car rental expense limit	GVK 40/5	TRY 37,000	TRY 46,000
Passenger car depreciation limit (excluding/inclusive of VAT and SCT or used vehicles)	GVK 40/5	TRY 1,100,000 / 2,100,000	TRY 1,380,000 / 2,600,000
Annual turnover threshold for tradesmen exemption	GVK 9/10	TRY 1,580,000	TRY 1,900,000
Increase in fees, stamp duty, and MTV	Presidential Decree No. 10783	43.93%	18.95%

Source: EY, PwC tax penalty amounts under the Tax Procedure Law, Income Tax General Communiqués No. 329 and 332, and Presidential Decree No. 10783.

The expansion of income tax brackets for employment income means that employees receiving the same gross salary may enter a higher tax bracket later than before. For sole proprietorships, the relevant version of the same tariff applicable to non-employment income is used.

Why Did Fees, Stamp Duty, and MTV Increase by 18.95%?

Not every financial item increased by 25.49% in 2026. Fees, fixed stamp duty amounts, and Motor Vehicle Tax (MTV) were increased by 18.95% under Presidential Decree No. 10783.

The legislation gives the President the authority to determine an increase rate different from the revaluation rate for certain items. In November 2025, the Minister of Treasury and Finance also stated that increases in taxes and fees would be kept below the revaluation rate, while exemptions would be updated at the 25.49% rate.

Fees for passports and driver's licenses, as well as traffic fines and similar individual items, were also updated at the beginning of the year. However, this guide focuses primarily on financial items that directly affect businesses.

Tax Penalties and Document Compliance

Failure to issue or obtain an invoice can result in a special irregularity penalty equal to 10% of the document amount. In 2026, the minimum penalty for the first detection is TRY 17,000.

Particularly for small-scale transactions, failure to properly issue or obtain documentation can result in a cost several times greater than the profit generated from the sale. In addition, the planned end of paper invoicing at the end of 2026 makes the transition to electronic document management increasingly important for businesses.

Revaluation of Depreciable Assets

Repeated Article 298/Ç of the Tax Procedure Law allows taxpayers who maintain their books on a balance-sheet basis to revalue real estate and other depreciable economic assets held by their businesses. The application is optional, and the valuation is carried out using the applicable revaluation rate.

The increase resulting from the revaluation is recorded in a special fund account under equity and is not subject to taxation. Since higher depreciation can subsequently be calculated based on the increased value of the asset, the resulting increase in expenses can reduce the company's taxable base.

However, this opportunity cannot be used during periods in which inflation adjustments are applied. Businesses should therefore evaluate their specific circumstances together with their certified public accountant or financial advisor.

Revaluation Rates for Provisional Tax Periods

For the first provisional tax period of 2026, the revaluation rate was announced as 4.19%, while the rate for the second period was 11.51%. These rates reflect the increase in D-PPI from the beginning of the year through the end of the relevant provisional tax period. They are announced by the Revenue Administration through Corporate Income Tax Law circulars.

Period	2025	2026
1st period (January–March)	3.30%	4.19% (Corporate Tax Circular No. 72)
2nd period (January–June)	9.23%	11.51% (Corporate Tax Circular No. 73)
3rd period (January–September)	16.60%	Official circular pending
4th period (January–December)	25.49%	To be announced in November 2026

Source: Corporate Tax Circulars No. 72 and 73, and the period rate table published by Alo Maliye / Legalbank.

These period-specific rates have a limited scope of application. They are used only for revaluations carried out under repeated Article 298/Ç during the relevant provisional tax period.

Fixed amounts such as invoice thresholds, exemptions, and tax penalties do not change throughout the year based on these provisional rates. Such amounts are updated once a year based on the annual revaluation rate.

When Will the Revaluation Rate for 2027 Be Announced?

The answer to the question "When is the revaluation rate announced?" is generally the same every year: November.

The rate that will apply in 2027 will become calculable once TÜİK publishes the October 2026 D-PPI data in early November. Since the rate is based on the average price change over the 12-month period ending in October, the figure can be determined once the October data is available.

The official announcement is made through a Tax Procedure Law General Communiqué issued by the Ministry of Treasury and Finance and published in the Official Gazette. In the previous year, the relevant communiqué was published on November 27. Following the announcement, additional communiqués concerning income tax brackets, exemptions, and various thresholds and amounts are generally published throughout December.

The President may once again determine a different increase rate for fees, stamp duty, and MTV.

To be updated: The revaluation rate applicable in 2027, officially referred to as the "revaluation rate determined for 2026," has not yet been announced. Once the rate is finalized, this section, the summary section, and the relevant tables will be updated.

New-Year Checklist for Businesses

When a new revaluation rate is announced and at the beginning of each January, businesses should review the following six areas:

Invoicing software: Check the invoice issuance threshold and e-Archive settings to ensure they reflect the latest amounts.
Payroll: Update meal and transportation exemptions as well as income tax brackets before preparing the January payroll.
Passenger vehicle expenses: Plan rental and depreciation expenses according to the new limits. Keep in mind that the portion exceeding the applicable limit cannot be treated as a deductible expense.
Thresholds: Review the thresholds applicable to the simplified taxation regime, bookkeeping requirements, and the tradesmen exemption certificate.
Asset valuation: Discuss with your financial advisor whether a revaluation under repeated Article 298/Ç could provide a tax advantage for your business.
Budget planning: Include updated fees, stamp duty, MTV, and potential tax penalty amounts in the annual budget.

For other changes introduced throughout the year, businesses should also monitor new developments in tax legislation.

When Will the 2027 Revaluation Rate Be Announced?

The rate applicable in 2027 will be determined based on the October D-PPI data that TÜİK is expected to publish in early November 2026. It will then be officially announced in the Official Gazette during November and will apply from January 1, 2027.

The revaluation rate affects many monetary amounts every year, from invoice thresholds and tax penalties to exemptions and various expense limits. Therefore, reviewing the latest rates and relevant legislative changes before the beginning of each new year is important for effective tax and financial planning.