Turkey Tax Articles & Analysis

Chapter | Tax from The Report: Turkey 2015

This chapter examines the tax environment in Turkey, looking at a pending new income tax as well as how the tax law deals with corporations. It also includes an analysis on the various ways that Turkey’s investment climate could be improved in the context of taxation.

Despite some recent turbulence, Turkey has strong fundamentals that underscore its potential for long-term economic growth. With a young population of 77.7m, a strategic location within four hours’ flying time of 1.5bn consumers and a diversified economy, the country has much to offer investors. 

Displaying 1 - 6 of 15

Tax systems have a high level of impact on economic development. One of the topics criticised in Turkey is the failure to use tax to serve development to the desired level. Therefore, the authorities need to be aware of how tax policies can be used as an effective tool in rapid, fair and balanced development attempts, and introduce the necessary regulations to that...

At present there is no definitive definition for corporations under the law and there are no defined criteria. However, it is possible to draw some conclusions making use of applicable provisions from the Turkish Commercial Code No. 6102 and various other regulations as outlined below.

Countries around the world have been making significant attempts to further direct foreign capital investment. In a globalised economy, the degree of foreign investment that a country attracts can have a significant multiplier effect, contributing to technological advances, employment opportunities and the ability to invest more in welfare.

Despite some recent turbulence, Turkey has strong fundamentals that underscore its potential for long-term economic growth. With a young population of 77.7m, a strategic location within four hours’ flying time of 1.5bn consumers and a diversified economy, the country has much to offer investors. 

The Ministry of Economy has issued a number of new incentives to encourage investment in Turkey, along with plans to roll out even more such initiatives in the coming years. Similarly, the Ministry of Industry has issued a new set of incentives aimed at attracting investors in technology start-ups, as well as plans to create investment...

Turkey’s direct taxation system consists of two main taxes: income tax and corporate tax. An individual is subject to income tax on his income and earnings, similar to a company, which is subject to corporate tax on its income and earnings. The rules of taxation for individual income and earnings are provided in Income Tax Law 1960 (ITL), while the rules concerning the...