- Economic Overview: Türkiye recorded a GDP of ~$1.6 trillion in 2025 (3.7% real growth) and $13.1 billion in FDI inflows. Exports reached a record $273.4 billion.
- Core Sectors: Highlights major economic drivers, including Energy (62.3% renewable installed capacity share), ICT (TRY 2.13 trillion market size), Tourism ($65.2 billion revenue), and Construction.
Comprehensive Tax & Legal Framework
- Anti-Avoidance & Audit: Outlines thin capitalization rules (3:1 debt-to-equity ratio limit), transfer pricing documentation standards (OECD three-tiered approach: Master File, Local File, CbCR), Controlled Foreign Company (CFC) rules, and statutory independent audit thresholds (TRY 500M assets / TRY 1B sales / 150 employees).
- Currency Regulations (Decree No. 32): Maintains foreign exchange contract restrictions for Turkish residents, while detailing specific exemptions for non-resident real estate leases, foreign employment, and foreign trade activities.
Strategic Business Incentives
- Investment Incentive Scheme (Decree No. 9903): Structured around “Move” initiatives (Technology, Strategic, Local Development), offering VAT/Customs exemptions, CIT reductions (up to 60%), social security premium support, interest rate subsidies, and land allocation.
- Special Zones & Hubs: Covers Free Zones (100% CIT exemption on export manufacturing), Technoparks/R&D Centers (CIT/payroll tax exemptions), and the Istanbul Finance Centre (IFC) offering a 100% CIT deduction on exported financial services through 2047.
- International Business Deductions: Offers a 95% CIT deduction for transit trade and Qualified Service Centres (100% in IFC) and a 100% deduction for exported services.
Individual Tax & Relocation Opportunities
- 20-Year Foreign Income Exemption (GVK Supplementary Art. 20/D): New residents who were non-tax-residents in the preceding 3 calendar years enjoy a 20-year income tax exemption on all foreign-source income and a flat 1% inheritance tax rate.
- Living in Türkiye: Detailed coverage of asset repatriation (Varlık Barışı at 0%–5% tax), Digital Nomad Visas ($3,000/month foreign earnings threshold), residence permits, driving licence exchanges, and foreign-plated vehicle regulations (up to 730 days).
