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Currency Effect

Tax & Turkey

The change in the lira value of a foreign-currency asset caused only by a move in the exchange rate.

A US stock that does not move at all in dollars shows a lira gain as the dollar strengthens against the lira, and a loss when it weakens. Because Turkish tax on foreign stock sales is calculated in lira, this effect also flows into the taxable gain. Rates and thresholds can change; check with a tax adviser.

Example

Say a $100 stock is still $100 a year later. If the exchange rate went from 30 to 35 lira over that time, the holding's lira value rose from 3,000 to 3,500.

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How Gains on Foreign Stocks Are Taxed in TürkiyeCapital gains and dividends from US stocks for someone resident in Türkiye: how they're calculated and when they're declared.Investing in Dollars and Currency RiskAn investor buying US stocks from Türkiye is actually making two bets at once.