The Regulation on Contributions For Protection of Immovable Cultural Properties ("Regulation") has entered into effect. The Regulation requires 10% of the annual real estate tax for buildings and land to be paid as a contribution toward protecting and using immovable cultural property. The Regulation outlines procedures and principles for imposing, accruing, collecting, transferring and using the contributions. It was published in the Official Gazette on 22 August 2015 by the Ministry of Culture and Tourism (the "Ministry"), entering into effect the same day.

Imposing, Accruing and Collecting the Contribution

In the first year of tax liability, building and land owners must pay 10% of the annual real estate tax value as a contribution.

In following years, contributions will be 10% of the real estate tax value, after applying the revaluation ratio for the previous year's tax value, as per the provisions of the Tax Procedure Code number 213, at the rate of 50%.

Contribution Account 

Municipalities collecting contribution payments must:

  • Declare the amount which has been collected to provincial special administrations or investment monitoring and coordination directorates.
  • Deposit the money in the relevant regional contribution account by the evening of the tenth day of the month after collecting the contribution.

The mayor and accounts manager are jointly liable for transferring the collected amounts to the relevant regional contribution account in time. Legal action will be taken against the liable persons if the transfer does not occur by the due time, or the amount is used for different purposes.

Use of Contributions

The governor distributes the funds specifically for use in plans, projects, applications and expropriation transactions undertaken to protect or value immovable cultural properties.

The governor must determine in a fair and equitable manner how the funds will be used, after giving consideration to the number of existing immovable cultural properties, their current status and their effect on the city's cultural values.

Applications, Evaluations and Payment

Provincial special administrations, the investment monitoring and coordination directorate, and municipalities can all apply to benefit from contribution payments towards protection and valuation of immovable cultural properties. Applications must be made within two specific periods per year (determined by the governors).

Governors must assess the applications to receive funds by the end of the month following the application period. If necessary, governors can establish an advisory commission to assess the applications and determine priorities.

The governorship must send a written notification to the relevant municipalities, provincial special administration or the investment monitoring and coordination directorate regarding the payment ratios for activities within the Regulation's scope. The approximate expenses for each project which the governorship decides should receive a payment from the contribution amount will be blocked in the contribution accounts held by provincial special administrations. The blockage will stay in place until the project is finalized.

Public Announcement

At the beginning of the month when applications are assessed, the governorship must announce:

  • The contribution account status.
  • The amount allocated to the Ministry, provincial special administration, investment monitoring and coordination directorate, and municipalities.
  • Distribution of this amount among these organizations.

The governorship must also report this information to the Ministry and Ministry of Interior twice per year.

Please see this link for full text of the Regulation (only available in Turkish).

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.