Can rent be paid in gold? The Ministry has announced

As complaints regarding rent payments in gold have been increasing in recent days, the Ministry of Treasury and Finance has issued a statement on the matter.

The Ministry reminded that paying rent in gold constitutes a violation of the legislation.

The Ministry's statement recalled that with the amendment made in 2018 to Article 4 of Decree No. 32 on the Protection of the Value of Turkish Currency, it was stipulated that persons residing in Turkey, except for cases determined by the Ministry, cannot determine contract prices and other payment obligations arising from these contracts in foreign currency or indexed to foreign currency in all kinds of movable and immovable property sales, vehicle and financial leasing, including all kinds of movable and immovable property rental, leasing, and business, service, and work contracts between themselves.

Stating that the communiqué related to this decree also regulates the implementation principles and exceptions regarding contracts denominated in or indexed to foreign currency, the Ministry reiterated that within this framework, it is stipulated that persons residing in Turkey cannot determine the contract price and other payment obligations arising from these contracts in foreign currency or indexed to foreign currency in real estate rental contracts, including residential and roofed workplace rentals, where the subject is real estate located within the country.

In the Ministry's statement, it was expressed that the relevant communiqué also stipulates that contracts indexed to precious metals and/or commodities whose prices are determined in foreign currency in international markets and/or indirectly indexed to foreign currency will also be considered as contracts indexed to foreign currency.

In this context, the Ministry, stating that paying rent in gold is contrary to the legislation, issued a warning to ensure that no transactions contrary to the legislation are carried out.