As of January 1st, income tax rates have changed in Northern Cyprus

The Council of Ministers of TRNC approved a resolution, having the force of law, on the reorganization of basic income tax brackets and rates. The document was published in the "Official Gazette," submitted for parliamentary consideration, and came into effect on January 1st.

"Taking into account today's socio-economic conditions, as of January 1, 2024, basic income tax brackets and annual rates have been modified. To mitigate the consequences of the economic crisis and uncontrolled growth of foreign currency, it was necessary to reduce taxes, ensure tax fairness, and extend the tax base," the decision rationale states.

According to the adopted resolution, as of January 1, 2024, the annual income will be subject to the following tax rates:

• 10% for amounts up to 30,000 TL;
• 20% for the next 30,000 TL;
• 25% for the next 60,000 TL;
• 30% for the next 90,000 TL;
• 35% for the next 210,000 TL;
• 40% for the next 420,000 TL.