Retiring from the states. All monies deposited into american banks. Will I have to pay transfer fees between banks and will the turkish government tax my income???? I was told HSNBC was best bet. Any comments will be appreciated.
Dreaded taxes
mojo1953
23 September 2011 13:47:00
12
mojo1953
30 September 2011 13:53:58
12
what
fernandobweir
30 May 2022 01:43:33
1
@mojo1953 You always pay a transfer fee to the bank, is a % over the amount and a fix fee ( no mater the amount). I suggest you check with your local bank if they have a correspondent Bank in Turkey that represents them. First before moving your money from States, I suggest to live in the place that you choose you can in many places use your credit card. If you decide to stay ,open an a account in a renown bank , Talk to see the requirements, taxes etc. Good luck FBW
Randomguy2000
30 May 2022 01:55:42
276
If you want to transfer your money from a US bank to a Turkish bank and if you will have to pay a transfer fee depends. My bank in the USA does not charge a transfer fee as long as they are sending it in local currency(Turkish liara), but if for example you have a US dollar account in Turkey then they will charge a 40 USD international wire transfer fee.
It is better to keep your money in USD or in the USA and then to send over the money that you need each month. There is western union, money gram, and many other money transfer services in Turkey. Currently the Turkish Liara is not stable, and it is better not to keep your currency in it since you never know if it will go up or down.
To start a bank account you will need to apply for your temporary residence permit, then register with the population office, and then go to a bank that is willing to do business with Americans.
You will find many banks in Turkey even though they claim to speak English do not. So it may be best to hire a translator to go with you. Also many employees at the banks don't even know their own rules when dealing with international customers, or have never bothered to even read them. So you will have some bank employees tell you its not allowed to deal with international clients even though this is not the case. You will have to really look around. The only bank I was able to start a bank account with, and have no problems with was Isbank.
You will also find the same thing when dealing with trying to get your internet, your phone, dealing with utility bills, etc.
When I went to the stores to try to get my internet set up I was told multiple times that you couldn't get internet if you werent a turkish citizen, or have any utilites like gas or eletricty if you where not a turkish citizen.
I had others tell me that my ikhmet card had to be from their specific city, and had everyone down the line tell me all types of wrong things.
The only way I was able to resolve this all was calling the English helplines that the companies set up, and talking with the representatives directly which where super helpful, and even told me that none of these people know what they where even talking about. Even some of the customer reprenstives admitted that the employees where lieing, and just didn't want to deal with foreigners.
You will find Turkey to be a xenophobic country, and even as an American I have had troubles here. If you have anymore questions the feel free to ask me.
You will also run into the problem of renting an apartment here if you don't want to buy an apartment or house because 80-90% of the turks will not rent to foreigners at all.
Even though we could be sued in the USA if we ever put into an ad "No foreigners allowed" it is very common to see in Turkish ads where they will put on their apartments or houses for rent "No foreigners allowed" and as far as I know there is no rules against it because they keep doing it.
Baybars Zaimoglu
30 May 2022 10:19:38
36
My favorite banks are Kuveyt Turk and Yapi Kredi Bank.They have great customer service.In Antalya ,some employees speak German&Russian If you can.Yapi Kredi Bank ,you try different branches,some of them ,they bother to help you.There is only Citibank in big cities.Is Bankasi is fine and so many branch and ATM s .Some ATM s give you $,too.Turkish taxes became annoying I feel like Sweden here.Both countries have very expensive booze, If you are drinker.We used to go to Denmark to just clubbing and drinking.Social Democrats may take over government may be in 30s but taxes may go up even higher.I am happy with current government.I voted for Joe Biden and bailed out to Turkey.Escaping taxes not possible.I should have moved to Ecuador maybe. If you pay $$$ rent many will lease you.Turkish people love dollars more than Americans,everyone has in his/her wallets all the time.At least Ecuador ,they use $ as currency,I wish Turkey gets rid of Lira and start using $ full time.There will be no pay problem and inflation that much.
avvuralgokhan
30 May 2022 11:42:23
52
There is no reason to tax an income which wasn't generated through solid work or a company, the retirement money isn't generally considered an income however there is a tax levied upon foreign currencies when exchange rate is different from prior exchange but it is levied upon COMMERCIAL matters and doesn't include pensions.
Regards
Atty. Gökhan Vural
Jimuddin
01 June 2022 15:30:31
10
Thank you for the clear explanation.
I was worried that my pension will be taxed if I live permanently in Turkey. However, I was told that the pension is limited to around $500 for Tax free. I am expecting 6/7 folds pension from the United States of America. My pension will be kept in American Bank. Will I be taxed in Turkey?
Thank you.
cdw057
01 June 2022 15:52:27
1742
@fernandobweir For me no problem, yes you have to pay a percentage (as I understand 0.15% for EUR and then correspondent bank fees. Just accept the percentage and just transfer not too often. Please not too much money in Turkey (insured only to TRY 100.000 (which is nothing nowadays). Also please careful receiving interest (or not) taxes. Personally I just have EUR and TRY account (most obvious focus on EUR). Not more then EUR 40 K in total, rest in Europe. I do not know what rules will be applied in the future in Turkey. (I am Dutch but permanent (?) residence in Turkey)
Personally I am with Garanti BBVA
cdw057
01 June 2022 15:59:09
1742
@avvuralgokhan I am still looking for a confirmation that my pension will NOT be taxed, I try to avoid interest income in other currencies, as I understand if your pension as an expat exceeds EUR 10 K per year you could be taxed, I will have to see how things will be in 5 years, but I am scared (my monthly pension will exceed EUR 3 K) and I hope any profits on real estate can be avoided.
Lets see, if things do not look good by that time I will leave.
Can you show any official docs that pension will NOT be taxed? (I am fine to be taxed in initial country (I worked in quite some countries and that is fine and DTT protect a bit, but the global income in Turkey up to very high levels is scary for me). Perhaps I just return to Hungary (even if I am Dutch). Worked in Netherlands, UK, Luxembourg and Hungary.
No intention whatsoever to work in Turkey.
Curious when tax authorities crack down on remote working in Turkey or eg bloggers/vloggers.
avvuralgokhan
02 June 2022 09:47:40
52
@cdw057
Do you know any turkish to begin with?
cdw057
02 June 2022 12:22:53
1742
@avvuralgokhan No Turkish at all, but than again I lived in Hungary for 7 years and also no Hungarian at all. I went quite fine, the real specialists will know foreign languagues and I follow developments a little bit, bottom line (no having any income at all) I feel quite comfortably for the few years to come.
avvuralgokhan
02 June 2022 13:28:14
52
Last reply to the fact at hand,
The Turkish income tax does cover legal 'earnings' this also can be earnings for your past work a.k.a. 'pensions'
however its excluded until you pass a certain threshold which is a wage which can be earned by the most senior official that is 32000 tl a month.
Since no-one i meet can pass that amount i don't think they will be eligible for income tax
Above mentioned is earnings tax levied upon the foreign currency.
cdw057
02 June 2022 14:25:48
1742
@avvuralgokhan My pension would exceed EUR 3 K pm, I think it does exceed the level you mentioned, hence my worry for the future, anyhow rules can change, for the worse as well I think a capital tax (vermoegens steuer is also likely in the coming years)
cdw057
02 June 2022 14:28:49
1742
@cdw057 lets see how things will go, taxes change quickly, I am Dutch and as far as things are I will NOT return now, Bulgaria and Hungaria are looking fine, but perhaps in Turkey things will be fine as well. Happy to pay taxes and so I did and will in the future, I play with the rules, but if the rules are not good ...
Subscribe to this topic
Articles to help you in your expat project in Türkiye
The tax system in Türkiye
This is probably not the most exciting and glamorous side of expatriation, but let's face it: with your new ...
Marriage in Türkiye
Türkiye, with its stunning landscapes and rich cultural heritage, has become a sought-after wedding ...
Having a baby in Türkiye
The journey of parenthood is an exhilarating adventure filled with joy, anticipation, and a fair share of ...
Phones and Internet in Türkiye
When you move to Türkiye, setting up your own phone and internet is a smart move to make right off the bat ...
Moving with your pet to Türkiye
Pets, and cats in particular, are fondly loved by most Turkish people, who prove incredibly caring to street ...
Childcare in Türkiye
Türkiye is a great place for kids, thanks to its incredibly child-friendly culture. Everywhere you turn ...
Open a bank account that suits you
Discover the best international banks to manage your money securely.
"