Turkey free zones in 2023
Healy Consultants assist our international Clients set up a business in one of the following free zones: Denizli, Tubitak, Istanbul Thrace, Mersin, Mardin, Aegean, Trabzon and Rize.
Advantages of an EPZ company
- Turkey boasts 21 Export Processing Zones (EPZ), offering export-oriented foreign companies indefinite corporate and duty tax exemption;
- Specifically, EPZ companies enjoy exemption from i) corporate tax ii) withholding tax on repatriation of funds iii) VAT iv) income tax v) all customs duties and vi) Resource Utilization Support Fund exemptions;
- For companies incorporated in an EPZ, there are no exchange controls, with easy repatriation of capital and profits, access to foreign currency accounts, and domestic and offshore borrowing. Investment by foreigners in the EPZ is unrestricted;
- Turkey has a Custom Union Agreement with the EU, allowing free circulation of exported goods into the EU market, without any import tax being levied on the goods;
- The EPZs in Turkey offer excellent export infrastructure, with ample amounts of serviced land and ready factory buildings. In addition, Zone developers provide 24 hour security, street lighting and landscaping. Office premises are available for lease in most zones.
Table comparing different free zones in Turkey
| Summary at a glance | Mersin | Istanbul Tracia | Ege | Antalya Serbest |
|---|---|---|---|---|
| Established since | 1987 | 1998 | 1990 | 1987 |
| Trade volume | 3.8B | 3.2B | 5.2B | 3.6B |
| Size of workforce involved | 7,829 | 2,820 | 19,970 | 3,627 |
| Average annual Industrial space rent | Click here | Click here | Click here | Click here |
| Average free zone license application fee? | €5,000 | €5,000 | €5,000 | €5,000 |
| How long to set the company up? | 7 weeks | 7 weeks | 7 weeks | 7 weeks |
| How long to open company bank account? | 2 weeks | 2 weeks | 2 weeks | 2 weeks |
| Quality of Utilities | Average | Excellent | Good | Average |
| Allowed to sign sales contracts with Turkish Clients | Yes | Yes | Yes | Yes |
| Allowed to invoice Turkish Clients | Yes | Yes | Yes | Yes |
| Corporate tax payable in Turkey | 0% | 0% | 0% | 0% |
| VAT tax payable in Turkey | 0% | 0% | 0% | 0% |
| Withholding taxation due in Turkey? | 0% | 0% | 0% | 0% |
| Custom duty payable in Turkey | 0% | 0% | 0% | 0% |
| Resource Utilization Support Fund exemption? | Yes | Yes | Yes | Yes |
| Corporate bank account | Citi | Citi | Citi | Citi |
| Physical office space required | Yes | Yes | Yes | Yes |
| Industrial space availability | Yes | Yes | Yes | Yes |
| Allowed to import raw materials? | Yes | Yes | Yes | Yes |
| Allowed to export goods? | Yes | Yes | Yes | Yes |
| Wholly foreign owned | Yes | Yes | Yes | Yes |
| Can the entity hire expatriate staff in Turkey? | Yes | Yes | Yes | Yes |
| Do you visit Turkey for company incorporation? | No | No | No | No |
| Minimum number of directors | 1 | 1 | 1 | 1 |
| Minimum number of shareholders | 1 | 1 | 1 | 1 |
| Tax registration certificate required | Yes | Yes | Yes | Yes |
| Individual shareholders allowed | Yes | Yes | Yes | Yes |
| Corporate shareholders allowed | Yes | Yes | Yes | Yes |
| Corporate director(s) allowed | No | No | No | No |
| Public register of shareholders and directors | No | No | No | No |
| LLC company allowed | Yes | Yes | Yes | Yes |
| Can apply for immigration visas | Yes | Yes | Yes | Yes |
| Annual audited financial statements | Yes | Yes | Yes | Yes |
| Annual tax return to be submitted | Yes | Yes | Yes | Yes |
| Access to Turkey double tax treaties | Yes | Yes | Yes | Yes |
