GarryP

Can anyone how the valuation on the TAPU is established and who by?


Also, if a lower value is put down on the TAPU what are the dangers in doing this?

As far as I can see, the advantages are primarily as a tax dodge with a lower Estate tax liability for both you and the developer. However the authorities mike catch up with you in the medium to long term.
The disadvantages are perhaps complications if you make an insurance claim, how about a larger capital gains tax liability in the UK if you were to sell the property. i.e. in establishing any capital gain, do you take inot account the TAPU valuation or your actual purchase cost ?

Thanks

puma

i would be interested in the answer to this also

kaya

every year concuil of city (some times goverment) put valuation rate all the properties in Turkey. later concuil of city (they have properties service). who want to buy a property must be go properties service of concuil and ask them. they are giving a document about property. you can see value of property. if you can declare less then concuil value.later finanace office will send tax to you. property annual tax is not much in Turkey. concil of city gets annual tax from their properties service.

ahmet

tricia

I think it's similar to rateable value in the U.K. The capital gains tax, if you sell and return to the UK, should be based on the purchase price versus selling price not the rateable value. If it was based on rateable value at time of purchase, then it would have to be worked out against rateable value at time of sale also. Either way the result should be similar.

petenic

Hi

Any help would be greatly appreciated.

Can someone please please explain in laymans terms the pros and cons regarding under declaring so we can be armed when our Tapu arrives and also the Capital Gains issue if you sell your property and the incorrect value is stated on the Tapu?

It looks like many people let their agents under declare without questioning it when the authorities state that you can get into trouble as it is classed as tax evading, fraud etc? Maybe it's us being typically British and sticking to the rules!

Anyway any assistance would be great.

Many thanks

Pete

Lady of Leisure

I have just last week completed the sale of my apartment in Kas, as usual the estate agent said that we should put a lower sale price down on the forms than we actually paid, but my purchaser wanted to put the full sales price down, and was willing to pay the full tax. We were then informed via the agent that since the new Tapu law the local council tell you their valuation on the property and you pay tax accordingly. This transaction also had a solictor present who explained that the estate agent was correct, but if my purchaser wanted to, at a later date declare a higher purchase cost, should could do so, but would have to pay a small fine and the extra tax. This transaction took place in kas(Antaly district) only last week. Dont know if any of this info is of help to you, but please e-mail me if you want any further information

lorraine

I could be wrong here re the Tapu calculations some one please correct me if I am. The registrations office each year receive official guideline prices per sqm, I cant lay my hands on the actual classes at the moment but I think there are 3 categories and wood. Therefore, this is what they base the Tapu calculations on.

So you purchase a house for £120k it could only cost £40k to build, land prices are not regulated therefore they are not able to show this. It is not soley tax evasion (but I have my opinions on this) so when you come to sell your property again the valuation of the build cost are taken into consideration with improvments.

They (the officials) get very confused if you start telling them that you do not wish to use the guidelines. crazy but there it is, it maybe different the further you move out of villages into larger more cosmo areas.

petenic

QUOTE FROM ANOTHER THREAD:
You'll only pay capital gains tax on the difference between what you actually pay and what you sell for.This is regardless of what is on your tapu.
Get a receipt for the actual money changing hands.The difference between actual cost and tapu value can be put down to the developments costs ie pool,garden landscaping etc.

Thanks for your replies. Are we right in assuming from the comments on the forum that the vast majority of owners have Tapus showing a considerably smaller purchase price than is written in their contract?

Just one more question! If, for example, we paid £25,000 for our property (written in the contract) and our agent declared 26.000YTL (£11,000) on the Tapu if we sold within 4 years and the next buyer wanted the full amount declared on the Tapu we would liable to tax of difference of £11,000 to the price we sold for. Or would we be liable to tax on the difference between the figure in the contract (£25,000) and the selling price?

It's all so confussing and we really do not want to get into bother!

Many thanks again

Nicki and Pete

mjclarkson

its seems the norm with most people only problem being capital gains maybe when you sell unless it is done on the price you pay against the price you sell?
all the rest seemed pretty staight forward but hey its sunny friendly and well sit back chill and enjoy