Turkish Labor Law
Related Articles
Minimum wage amount is changed, and so did the upper and lower limits of average daily earning taken as basic to premium.
Family allowance, child allowance and disability benefit amounts are also redefined.
Minimum Wage amount is changed
Based on Labor Law no 4857 and with the decision of Commission of Fixing the Minimum Wages, the new parameters are set as follows:
For workers over the age of 16, the wages will be;
26.55 TL per day and 796.50 TL per month between 01.01.2011 and 30.06.2011; 27.90 TL per day and 837.00TL per month between 01.07.2011 and 31.12.2011
For workers under the age of 16, the wages will be;
22.65 TL per day and 679.50 TL per month between 01.01.2011 and 30.06.2011; 23.85 TL per day and 715.50 TL per month between 01.07.2011 and 31.12.2011
Minimum Wage Allowance is put into effect
Minimum wage allowance amount for 2011 is also determined.
The workers whose wages are subjected to individual taxation will benefit from minimum wage allowance. Craftsmen and tradesmen like butchers, greengrocers and tailors and self-employed people such as lawyers, dentists, doctors, financial advisors, engineers and architects will not benefit from this practice.
The minimum allowance amount changes depending on marital status of the employee and number of children he/she has.
Minimum wage allowance amounts effective as of 01.01.2011 is as follows:
Single 59.74 TL
Married (with an unemployed spouse) and no children 71.69 TL
Married (with an unemployed spouse) and 1 child 80.65 TL
Married (with an unemployed spouse) and 2 children 89.61 TL
Married (with an unemployed spouse) and 3 children 95.58 TL
Married (with an unemployed spouse) and 4 children 101.55 TL
Married (with a working spouse) and no children 59.74 TL
Married (with a working spouse) and 1 child 68.70 TL
Married (with a working spouse) and 2 children 77.66 TL
Married (with a working spouse) and 3 children 83.63 TL
Married (with a working spouse) and 4 children 89.61 TL
Lower and Upper Limits for average daily earning taken as basis for premium are increased
According to Law no 5510, the lower limit of average daily earning taken as basis for premium is the minimum wage determined in accordance with article 36 of Labor Law no 4857 for the employees older than 16 years of age and the upper limit is 6.5 times of the daily minimum wage. According to the changes, the lower and upper limits applicable will be as follows:
· Between 01.01.2011 and 30.06.2011, lower limit will be 26.55 TL per day and 796.50 TL per month; upper limit will be 172.58 TL per day and 5,177.40 TL per month.
· Between 01.07.2011 and 31.12.2011, lower limit will be 27.90 TL per day and 837.00 TL per month; upper limit will be 181.35 TL per day and 5,440.50 TL per year.
· The tariff taken as basis in calculation of taxation of wages subjected to income tax
The tariff defined in Income Tax Act article 103 is redefined to be taken as basis in taxation of wages for 2011 fiscal year. Accordingly;
· 15% of incomes up to 0 -9.400.-TL
· 20% of incomes 9.401-23.000.-TL
· 27% of incomes 23.001-80.000.-TL
· 35% of incomes 80.000.- TL above.
Disability Allowance amount applicable in income taxation
The applicable disability allowance amount defined in Income Tax Act article 31 is redefined and will be effective as of 01.01.2011:
· First degree disability (at least 80% loss of work capacity) -> 700.- TL
· Second degree disability (at least 60% loss of work capacity)-> 350.- TL
· Third degree disability ( at least 40% loss of work capacity) -> 170.- TL
Exemption amount regarding the benefits practiced via offering food service outside of the workplace and outbuildings of the workplace
The exemption amount defined in Income Tax Act article 23/8 regarding the benefits practiced via offering food service outside of the workplace and outbuildings of the workplace is redefined as 10.70 TL (VAT excluded) effective through 2011 fiscal year.
