Tax Obligations of Foreign Companies in Türkiye: Full Compliance
Entering the Turkish market offers vast opportunities, but navigating the local tax landscape requires precision. While Türkiye’s tax system is transparent and digitalized, foreign-owned entities face specific risks that demand expert oversight. SR Global Consulting optimizes your tax structure, minimizes legal liabilities, and ensures your business remains fully compliant with Turkish legislation.

1. Defining Your Tax Liability: Full vs. Limited
Your tax burden in Türkiye is dictated by your organizational structure. We help you determine and manage your status:
Full Tax Liability: Applicable to companies with legal or business headquarters in Türkiye (e.g., Limited or A.Ş.). These entities are taxed on their worldwide income.
Limited Tax Liability: Applicable to companies headquartered abroad that operate via branches or liaison offices. These entities are only taxed on earnings generated within Türkiye.

2. Key Tax Items and Current Rates (2026)
We provide expert management for the core pillars of the Turkish tax system:
Corporate Income Tax (CIT): The standard rate is 25%. However, we help eligible clients access reduced rates for manufacturing, exporting, and high-tech activities.
Value Added Tax (VAT): The general rate is 20%. We specialize in securing VAT exemptions for machinery and equipment purchases under Investment Incentive Certificates.
Withholding Tax: This applies to dividends, rent, and technical service payments made to entities abroad. We strategically utilize Double Taxation Avoidance Agreements (DTAA) to minimize these rates.

3. Strategic Value-Added Services
Beyond basic bookkeeping, we offer high-level fiscal engineering to protect your bottom line:
Double Taxation Avoidance (DTA)
Türkiye has signed treaties with over 90 countries. We analyze these agreements to ensure your profits are not taxed twice—once in Türkiye and again in your home country—maximizing your global net income.
Transfer Pricing & Documentation
We ensure that transactions between your Turkish entity and its foreign affiliates follow the “Arm’s Length” principle. Our team prepares robust transfer pricing reports to safeguard your company against aggressive tax audits.
Investment Incentives & Tax Holidays
Türkiye offers aggressive incentives for strategic sectors. We guide you through:
Customs Duty Exemptions
Social Security Premium Support
Tax Deductions for R&D and strategic investments.
Audit & Dispute Management
In the event of a tax audit, we provide expert representation. We manage administrative appeals and litigation processes to resolve disputes with the Revenue Administration efficiently.

Why SR Global Consulting?
Taxation should not be a barrier to growth—it should be a strategic advantage. SR Global Consulting aligns the complex financial statements of foreign companies with Turkish law, leveraging legal incentives to protect your cash flow.

🛡️ Optimize Your Business Success, Not Your Tax Burden
The Turkish tax code is subject to frequent updates. Ensure your financial structure is resilient and optimized for the current year.
📞 International Business Support: [+90 501 591 67 86]
📍 SR Global Consulting: Excellence in Turkish Fiscal Law