Under the Individual Pension System, tax rates chargeable on repayments to participants are as follows:
- The income amount including repayment to those who leave the system after having paid less than ten years of contribution fees or make partial payments during such period (including the income amount covering the payable parts of Government contributions deposited as per the Individual Pension Savings and Investment System Law numbered 4632 and dated March 28, 2001 to the individual pension account) is subject to 15% income tax.
- The income amount including the repayment to those who have paid contribution fees for ten years but left the system without receiving entitlement to pension, or made partial payment during such period (including the income amount covering the payable parts of Government contributions deposited per the Law no. 4632 to the individual pension account), is subject to 10% income tax.
- The income amount including repayment to those who have received entitlement to pension or left the system due to obligatory reasons such as death, disability or liquidation (including the income amount covering the payable part of Government contributions deposited per the Law no. 4632 to the individual pension account) is subject to 5% income tax.