Updated
Updated · paturkey.com · Apr 22
Türkiye’s Rising Tax Burden: OECD Warns of Bracket Creep Impact
Updated
Updated · paturkey.com · Apr 22

Türkiye’s Rising Tax Burden: OECD Warns of Bracket Creep Impact

5 articles · Updated · paturkey.com · Apr 22
  • The OECD's 2026 'Taxing Wages' report shows Türkiye's tax wedge for workers has risen, now ranking 14th among 38 OECD countries.
  • Bracket creep from high inflation and stagnant tax brackets has pushed more workers into higher tax rates, eroding recent tax relief gains.
  • The rising tax burden, combined with low purchasing power, is squeezing both employers and employees, making wage increases costly and reducing net income.
Could automatic inflation-indexing of tax brackets solve the 'double squeeze' on Türkiye's workers?
Why are Turkish workers getting poorer even as their nominal wages rise with inflation?
Is Türkiye's high tax burden accelerating a 'brain drain' of its skilled workforce?
Is Türkiye's 'silent tax' on labor a necessary evil to fund its strong economic growth?
How does Türkiye's tax policy impact its ability to attract foreign investment and talent?