Turkey at a glance
Turkey is one of the EU jurisdictions founders most often use today, especially while the EU-wide 28th Regime (EU Inc) is still a proposal. Below are the verified essentials: company types, tax, capital, timing and whether you can set up remotely.
Company types in Turkey
- Limited Sirket (limited liability company) The most common vehicle for foreign founders, similar to a GmbH or SARL: a single shareholder and director, limited liability, TRY 50,000 capital payable within 24 months with no upfront deposit.
- Anonim Sirket (joint-stock company) For larger operations or raising investment, and mandatory in regulated sectors. TRY 250,000 capital, 25% deposited before registration.
| Corporate tax | Standard corporate tax is 25% for 2025-2026 (30% for the financial sector), with a 5-point reduction for qualifying export, manufacturing and technology-zone income. A domestic minimum tax (generally at least 10%) applies from 2025, and free zones and technology development zones offer significant exemptions. |
|---|---|
| VAT rate | Standard VAT (KDV) is 20%, raised from 18% in mid-2023, with reduced rates of 10% and 1% and 0% on exports. Returns are filed monthly. |
| Dividends & payroll taxes | Dividends carry withholding of around 10%. Personal income tax climbs to 40%, employer social security adds roughly 22.5% within ceilings, and mandatory e-invoicing keeps every flow visible; lira volatility does the rest. |
| Minimum share capital | Limited Sirket: TRY 50,000 (about USD 1,400), raised from 10,000 in 2024, payable within 24 months with no upfront bank deposit. Anonim Sirket: TRY 250,000, with 25% deposited before registration. Companies under the old thresholds must top up by 31 December 2026. |
| Setup time | Typically 2 to 4 weeks with complete, translated documents. The trade-registry filing itself can clear in 3 to 10 business days; notarisation, sworn translations, tax numbers and bank account opening extend the practical timeline. |
| Remote setup | Yes. With a notarised, apostilled power of attorney to a local attorney, name reservation, tax numbers, MERSIS and trade-registry filing and the capital deposit can all be handled without travelling. Foreign investors get 100% ownership with no local partner. |
| Director / residency | No residency requirement: a single foreign, non-resident shareholder and director suffice, and 100% foreign ownership is permitted under the Foreign Direct Investment Law. Forming a company does not by itself grant residency but can support a work-permit application. |
| Banking options | A Turkish corporate account is required (mandatory for the JSC capital deposit). Foreigners can open accounts at Garanti BBVA, Isbank, Ziraat, Yapi Kredi and Akbank; a tax number and proof of address help, and some banks want an in-person visit or use a local representative under PoA. |
| Our formation service | from around €100 to €200 (estimated). You get a fixed quote in your free plan before you commit. |
Turkey is not an EU member; it is an official EU candidate (since 1999, talks stalled) outside the EEA and EFTA, but it has a Customs Union with the EU (since 1995) giving tariff-free access for many industrial goods. It is transcontinental, with a market of more than 85 million, 100% foreign ownership, 80+ tax treaties, and free zones offering tax and VAT exemptions attractive to exporters and tech firms. The currency is the Turkish lira.
How to register a company in Turkey
Step by step, this is how a Turkey formation actually runs:
- Prepare MERSIS filing and documents. The limited şirket's articles are drafted in the MERSIS system; foreign founders add notarised, apostilled passports and a power of attorney.
- Get tax numbers. Each foreign shareholder obtains a Turkish tax number, doable online or through the attorney.
- Sign at the Trade Registry. The attorney signs the incorporation before the Trade Registry Directorate under the power of attorney.
- Deposit capital. The TRY 50,000 minimum for a limited şirket does not have to be pre-deposited; it is payable within 24 months of registration.
- Tax office registration and e-systems. The tax office activates the company, and the mandatory sworn accountant (SMMM) sets up e-invoice and e-declaration systems.
We handle each step with licensed local counsel, so the paperwork, registered address and filings are done correctly the first time.
What company formation in Turkey costs
Registry, notary and translation costs for a remote setup commonly total EUR 300 to 700, with figures in lira moving with inflation. The mandatory monthly accountant typically costs the equivalent of EUR 80 to 200. The TRY 50,000 capital (roughly EUR 1,100 at recent rates) is payable within two years, easing the day-one outlay.
Form your Turkish company in days
Tell us where you live and what you are building. Our formation service starts from around €100 to €200 (estimated); we confirm the right structure for Turkey, give you a fixed quote, and form the company with licensed counsel.
Get your free planWho can form a company in Turkey
Founders from outside the EU can own and run a Turkish company, with the cross-border requirements handled for you. We flag any residency or local-agent rule for Turkey up front, so there are no surprises.
Turkey fits founders serving its large domestic market or bridging Europe and the Middle East, with the customs union easing goods trade with the EU. Lira volatility and monthly compliance argue for pricing in hard currency and keeping a dependable local accountant.
After registration: what Turkey expects each year
Corporate tax (25%) is filed annually with quarterly advance returns, VAT and withholding declarations run monthly, and e-invoicing is standard. The accountant files everything electronically; expect meaningful compliance rhythm even for small companies. Statutory books are certified yearly.
Turkey and the 28th Regime (EU Inc)
EU Inc, the proposed 28th Regime, would let you register one company valid across all 27 EU member states. It is not law yet (expected around 2027-2028), so a Turkish company is one of the ready options you can use today. Forming an EU company now also positions you to adopt EU Inc later, as we cover in how to prepare an EU Inc company. To weigh Turkey against other countries, see company formation in Europe.