The AK Party (AKP) has prepared a new legislative proposal to regulate the activities of foreign digital travel and accommodation platforms in Turkey, according to the proposal's framework. The measure aims to allow international platforms, such as Booking.com, to resume operations in the Turkish market if they meet the specified conditions. [claim:1, claim:12]
Under the proposed rules, foreign digital accommodation platforms would be required to maintain an official representative office in Turkey and obtain an operating permit that must be renewed every two years. [claim:2, claim:3]
The fee required for renewing the operating permit, which may increase in the future.
The proposal states that foreign digital platforms will become taxpayers of the digital services tax in Turkey and pay taxes on earnings obtained in the country. Additionally, these platforms would transfer a tourism share of 0.05% of their annual turnover to the Türkiye Tourism Promotion and Development Agency (TGA). [claim:5, claim:6]
Commission limits and service scope
The regulation seeks to cap commissions, stating that foreign digital platforms will not be allowed to collect commissions exceeding 17% on sales in Turkey. This is lower than the approximately 20% commission rate currently applied by domestic platforms in Turkey. [claim:9, claim:10]
The scope of activity for these foreign platforms will be limited to services including accommodation, flight tickets, and transfers, while the sale of package tours will be prohibited. The proposal also includes provisions to protect competition, requiring platforms to use transparent algorithms and avoid practices that could create a dominant market position. Furthermore, accommodation facilities will remain allowed to use other sales channels of their choice while working with these platforms. [claim:7, claim:8, claim:11]
Context and implementation
The legislative proposal is expected to be submitted to the Grand National Assembly of Turkey (TBMM) in the near future. [claim:14] It is reported that the regulation aims to include international platforms such as Booking.com, Airbnb, and Trip.com. [claim:15]
Booking.com ceased its operations in Turkey approximately nine years ago. [claim:13] It was reported that the company's reservation services for hotels in Turkey were suspended by a court decision in 2017 because of a lack of a representative office and failure to meet tax obligations, which was deemed to create unfair competition. [claim:16]
The regulation prepared by the AKP group management is reported to be targeted for passing into law before the Grand National Assembly of Turkey (TBMM) goes on recess, depending on the parliamentary schedule. [claim:17] It has also been noted that the requirement for a representative office is similar to requirements previously introduced for social media platforms. [claim:18]