Investment Incentives
"What investment incentive programs are available in Turkey?"
Quick Answer
Türkiye offers investment incentive schemes that may include VAT exemption, customs duty exemption, corporate tax reduction, and social security premium support, subject to eligibility rules set by current Presidential decrees and implementing regulations.
Investment Incentives Framework in Türkiye
Türkiye’s investment incentives are typically accessed through an incentive certificate based system. Eligible investments may benefit from tax and customs supports, but the scope, conditions, and schemes can change through Presidential decrees and implementing communiqués.
Key Points to Remember
- Incentives are generally granted through an incentive certificate issued by the relevant authority, subject to eligibility criteria
- Common incentive elements may include VAT exemption for machinery and equipment and customs duty exemption for imports within the certificate scope
- Additional supports may include corporate tax reduction, social security premium supports, interest or financing supports, and land allocation depending on the scheme
- Eligibility depends on factors such as investment type, sector, location, size, and whether the investment falls under priority or strategic categories defined in the current rules
How Incentives Work in Practice
In practice, investors typically (i) assess eligibility under the current incentive scheme, (ii) prepare an application and investment plan, (iii) obtain an incentive certificate, and (iv) comply with reporting and completion requirements to retain benefits.
Because incentive rules and thresholds may change, investors should verify the applicable decree and implementing guidance in force on the application date and confirm any sector specific licensing or permit requirements that may affect eligibility.
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