## Turkey Proposes 10% Cryptocurrency Income Tax Amid Rising MENA Market Activity
Turkey ruling Justice and Development Party has proposed a 10% tax on cryptocurrency income and gains as part of a draft amendment to the country tax laws, signaling increased regulatory scrutiny of digital asset transactions in one of the Middle East and North Africa largest crypto markets. Under the proposed legislation, platforms subject to capital gains tax in Turkey could be required to withhold 10% tax on gains and income derived from cryptocurrency transactions on a quarterly basis. The draft law would also grant the Turkish President authority to adjust the tax rate on digital assets between 0% and 20%, while service providers would face a 0.03% transaction tax on facilitated transactions. The regulatory framework is expected to take effect approximately two months following publication if the legislation passes. The country treasury will be responsible for implementing regulations and enforcement mechanisms. Turkey has emerged as a significant cryptocurrency market in the region. According to data from Chainalysis, Turkey led the Middle East and North Africa in cryptocurrency transaction volumes, with $200 billion in transactions from July 2024 to June 2025. The G-20 country experienced inflation peaking at 85% in October 2022 before declining to approximately 30% in January 2026, driving substantial adoption of cryptocurrency for economic necessity and as an alternative financial infrastructure. The proposal positions Turkey among nations exploring increased taxation of digital asset markets. In February, the Netherlands House of Representatives advanced a proposal to introduce a 36% capital gains tax on savings and most liquid investments, including digital assets, potentially taking effect in 2028.
---
- **Source**: 
- **Sector**: The Vault
- **Tags**: cryptocurrency, taxation, turkey, regulation, mena
- **Credibility**: unverified
- **Published**: 2026-03-02 20:08:48
- **ID**: 1567
- **URL**: https://whisperx.ai/en/intel/1567