Announcement on the Value of the Lease Contracts made in Foreign Currency and Indexed to Foreign Currency is published

% 0

Pursuant to the amendments made to the Communiqué numbered 2008-32/34 regarding the Decree No.32 on the Protection of the Value of Turkish Currency on 16.11.2018, it has been regulated that the contract price of lease agreements for residential purposes or for workplaces in foreign currency or indexed to foreign currency will be determined in Turkish currency for a term of two years.

Since the aforementioned two-year period expires as of 13.10.2020, the Ministry of Treasury and Finance has published an announcement ("Announcement") on 13.10.2020 in order to clarify the contract values. As per the Announcement, following termination of two-year period, the contract value will be increased by the rate of increase applied to amounts in Turkish lira or in case the parties cannot come to an agreement, the limitations under Article 344 (Rental Fee - Determination) of the Turkish Code of Obligations numbered 6098 will be applied. It will neither be possible to implement the prices in the referred contracts in foreign currency or indexed to foreign currency, nor to determine the prices in foreign currency or indexed to foreign currency again.

Please find the Turkish version of the Announcement here.

All rights of this article are reserved. This article may not be used, reproduced, copied, published, distributed, or otherwise disseminated without quotation or Erdem & Erdem Law Firm's written consent. Any content created without citing the resource or Erdem & Erdem Law Firm’s written consent is regularly tracked, and legal action will be taken in case of violation.

Other Contents

Legal Developments
Press Release on Measures to Strengthen Financial Stability has been Published

Following the press release of the Ministry of Treasury and Finance, on 09.06.2022 the Capital Markets Board announced its Measures to Strengthen Financial Stability to establish the "Commodity Market" and initiate its internal processes regarding issuance of gold certificates...

Capital Markets Law 16.06.2022
Legal Developments
An Amendment Has Been Made to Capital Movements Circular

Article 38/2 of the Capital Movements Circular published by the Turkish Central Bank on 02.05.2018 (“Circular”) has been amended with the letter of Ministry of Treasury and Finance dated 08.02.2022 and numbered...

Capital Markets Law 17.02.2022
Legal Developments
Communiqué Regarding Issuance of Secured Capital Market Instruments Has Been Published

The Communiqué Regarding Issuance of Secured Capital Market Instruments (II-31/B.1) (“Communiqué”) entered into force through its publication in the Official Gazette dated 26.01.2022 and numbered 31731...

Capital Markets Law 27.01.2022
Legal Developments
The Communiqué on Corporate Governance has been amended

The Communiqué on Corporate Governance has been amended

Capital Markets Law 2.10.2020
Legal Developments
Amendment to the Regulation on Foreign Direct Investments Law

Amendment to the Regulation on Foreign Direct Investments Law

Capital Markets Law 23.10.2020
Legal Developments
Corporate Tax Rate Discount for Some Institutions Whose Shares Are Offered to the Public for the First Time

Corporate Tax Rate Discount for Some Institutions Whose Shares Are Offered to the Public for the First Time

Capital Markets Law 17.11.2020
Legal Developments
The Communiqué (No: 2008-32/34) on Decree No. 32 has been changed

The Communiqué (No: 2008-32/34) on Decree No. 32 has been changed

Capital Markets Law 2.02.2021
Legal Developments
The Amendments on the Circular on Capital Movements-III

The Amendments on the Circular on Capital Movements

Capital Markets Law 22.02.2021
Legal Developments
Second Extension of the Period Designated for Submission of the First Country by Country Report

Second Extension of the Period Designated for Submission of the First Country by Country Report

Capital Markets Law 22.02.2021
Legal Developments
The Amendments on the Circular on Capital Movements-II

The Amendments on the Circular on Capital Movements

Capital Markets Law 19.03.2021
Legal Developments
The Amendments on the Circular on Capital Movements-I

The Amendments on the Circular on Capital Movements

Capital Markets Law 9.08.2021
Legal Developments
The Amendments on the Circular on Capital Movements

The Amendments on the Circular on Capital Movements

Capital Markets Law 1.10.2021
Legal Developments
Amendments to the Communiqué on Decree No. 32 on the Protection of the Value of Turkish Currency (No: 2018-32/45)

Amendments to the Communiqué on Decree No. 32 on the Protection of the Value of Turkish Currency (No: 2018-32/45)

Capital Markets Law 14.10.2021

For creative legal solutions, please contact us.