Tax Deductions and Subsidies for Education Expenses in Turkey

Costs for international students studying in Turkey can sometimes be quite high. However, there is a fact that most students or their families do not know: Thanks to tax deductions, it is possible to deduct some expenses from taxes. Of course, these advantages can benefit not only Turkish citizens but also foreign students studying in Turkey under certain conditions.

Yes, that’s right: books, dormitory fees, even private university tuition fees can be tax-advantaged if they are paid in accordance with the rules. Let’s take a closer look at all these details.


How Tax Cuts Work in Turkey

Which Expenses Are Tax Deductible?

Tax cuts are a great opportunity to ease the cost of education. Unfortunately, not all expenses are included in this scope. Expenses that can be deducted from taxes within the scope of education expenses in Turkey are as follows:

  • University tuition fees (only for private universities without foundation status)
  • Payments for private dormitories or hostels
  • Educational materials such as books, notebooks, stationery

All these expenses can be deducted in the income tax return of the taxpayer (e.g. student or his/her family), provided that they do not exceed 10% of his/her annual income. However, the expenditures must be documented by official invoice.

Who is covered by the Tax Reduction Application?

There is a critical detail here: tax deductions are only available to annual income tax filers. In other words, if you are employed or self-employed and you are a taxpayer in Turkey, you can benefit from this advantage.

If you are the owner of a limited or joint stock company, you cannot claim your child’s education expenses as company expenses. The tax office won’t accept it.


Can International Students Benefit from Tax Advantages in Turkey?

The answer to this question starts with “yes, but…”. International students are not entitled to a direct tax deduction as they generally do not file income tax returns in their own name. But there are some exceptions.

The Situation for Self-Funded Students

If the student has a job in Turkey and pays income tax, for example if he/she has a part-time job or earns freelance income, then he/she may be entitled to deduct his/her education expenses from his/her taxable income in his/her annual declaration.

In this case, the following costs can be considered:

  • Tuition fees paid to the university
  • Private dormitory payments
  • Book and material expenses

But there is one thing to remember: These expenses must be documented with invoices issued in the name of the student.

Can Sponsored Students Receive Tax Advantage?

If the person sponsoring the student’s education (e.g. his/her family, an association or a company) is a Turkish taxpayer and the expenses are incurred by that person, a tax deduction may be available.

For example, if a father living in Istanbul pays private university fees for his child from the US and files a tax return, this payment may be tax deductible. But the payment and invoice must have been made in his name.


What to Pay Attention to When Deducting University Expenses from Taxes?

This section is the most technical, but also the most critical. Because many people cannot take advantage of this opportunity even when they are right about tax deductions because they make the wrong transaction.

Accepted Education Expenses Table

Check the table below to quickly see which expenses are covered:

Type of Expenditure Tax Deduction Status Description
Private University Fees Yes (conditional) Payment must be made in USD, Must be a non-tax exempt university
State University Fees Yes Sufficient to provide invoice
Hostel Fees Yes (limit) Should not exceed 10% of income, should be private dormitories
House Rent No The rent of students staying in private houses is not covered
Book and Stationery Expenses Yes Purchases of stationery with invoice
Eating Expenses No Considered outside of education service

For example, if you paid 1,520 USD per year for a private dormitory and this amount is less than 10% of your annual declared income, you can deduct this expense. However, the same amount would not apply to a house rent.

Age Limit to Consider

Tax breaks are only available for students aged 18-25. Once you turn 26, your education costs are no longer covered. This limit is especially critical for international students with family support.


State Supported Education Aids and Scholarships in Turkey

If tax breaks alone are not enough, don’t worry. There are also many state-funded scholarships and grants available for international students studying in Turkey. These supports can greatly reduce the financial pressure that can occur during the learning process.

Ministry of Youth and Sports Aids

The scholarships offered by the Turkish Ministry of Youth and Sports (GSB) are not limited to Turkish citizens. Especially foreign students with long-term residence permits in Turkey can benefit from certain programs.

KYK scholarships and dormitory subsidies, which are available every year through the GSB’s website, are awarded based on income. The required documents are usually a student certificate, income declaration and residence permit.

Combined with tax breaks, these scholarships are particularly effective in offsetting large items such as dormitory fees.

Turkey Scholarships and Application Requirements

One of the most well-known resources for international students is the Turkey Scholarships program. The program covers the full cost of university fees and also offers a monthly living stipend and dormitory facilities.

The application process is completely online. If you are wondering which documents are required and when to apply, be sure to check out our guide on Online Application Platforms for Scholarships in Turkey for details.

Although these scholarships do not directly replace tax cuts, they have the same effect by indirectly reducing students’ expenditures to zero.


Overlooked Resources: Municipality and Foundation Support

In Turkey, not only the state but also local governments and some non-governmental organizations do not forget international students. Although it is not systematic like tax deductions, it contains surprise supports for students who follow it regularly.

Support for Students by Metropolitan Municipalities

Municipalities, especially in big cities such as Istanbul, Ankara and Izmir, are required to provide students with:

  • Transport discount cards
  • Free food programs
  • Scholarships or cash grants

such assistance can be offered.

Although these subsidies are not directly covered by tax breaks, they help you achieve the same result by reducing training costs.

Contributions of Local Foundations to Education

Many local foundations in Turkey provide scholarships and in-kind assistance to foreign students. These include religious institutions, cultural associations and regional development agencies.

The aid provided by these foundations is usually quiet, not advertised on social media or on posters. However, you can get these opportunities by signing up for mailing lists or following campus bulletin boards.


How to Apply for Tax Reduction

Turkey does not automatically apply tax breaks. You need to apply. Although the process is a bit bureaucratic, it is not impossible.

Required Documents and Process

Documents you need for application:

  • Invoices for education, dormitory, books, etc. issued in the name of the student
  • Income tax return (personally filed)
  • Student certificate
  • Census or residence information

Applications can be made through e-Government or the tax office you are affiliated with. At the end of the year, you need to declare the related expenditures item by item when you submit your declaration.

Common Mistakes and Reasons for Rejection

Many students and parents do not know that their applications were rejected because of the following errors:

  • The invoice is issued to someone else, not in the student’s name
  • Expenditure exceeding the 10% limit
  • Reporting out-of-scope expenses such as rent
  • If the student has exceeded the age limit (over 25 years old)

As long as you avoid these mistakes, tax breaks can give you some serious relief.


Ekstra Destek: Alternative Financing Methods in Turkey

Applied for all the scholarships, but still have expenses left uncovered? Then it’s time to think about next generation solutions. There are other ways to reduce the cost of education in Turkey.

Covering Education Costs with Crowdfunding Options

Many international students fund their studies through crowdfunding. You can set up support campaigns through GoFundMe, FundRazr or local alternatives.

For more information: Crowdfunding Opportunities for Education in Turkey

This method is not covered by official tax breaks, but it can ease your financial burden with individual support.

Micro-loans and Digital Income Models

Among the digital income streams popularized among students:

  • Online teaching (Udemy, Cambly, Preply)
  • Freelance graphics or text jobs (Fiverr, Bionluk)
  • Social media content creation

are included. International students who pay income tax can also benefit from tax deductions by declaring their income in this way.

For more information: Microcredit Opportunities for Students in Turkey


The Most Suitable Period for Education in Turkey!

2025 is a year of both affordability and opportunity for international students looking to study in Turkey. With low living costs, tax breaks, government subsidies and alternative financing methods, there are many reasons that make Turkey attractive.

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