Glossary

Turkish Tax & Incentive Terms

The concepts foreign investors and multinational subsidiaries meet most often in Türkiye, explained in plain English. Each entry links through to the services it relates to.

Certified Public Accountant (Serbest Muhasebeci Mali Müşavir, SMMM)

A Serbest Muhasebeci Mali Müşavir (SMMM) is a licensed professional under Türkiye's Law No. 3568 who keeps company books, prepares tax returns and provides day-to-day accounting and tax advice.

Change of Legal Form (Nev'i Değişikliği)

A nev'i değişikliği is a change of a company's legal form — most commonly a limited liability company converting into a joint stock company — without the company being wound up.

Design Centre (Tasarım Merkezi)

A Tasarım Merkezi (design centre) is a status certified by Türkiye's Ministry of Industry and Technology under Law No. 5746, providing tax and social security reliefs for in-house design activity.

E-Turquality Programme (Stars of Information Technology)

E-Turquality is a Ministry of Trade programme supporting Turkish software, gaming, digital services and IT companies in building global brands and exporting their services.

Fiscal Holiday (Mali Tatil)

Mali tatil is a statutory fiscal holiday in Türkiye, applied each July under Law No. 5604, during which the deadlines for covered tax filings, notifications and payments are extended.

A free zone in Türkiye is an area designated under Law No. 3218 which, although inside the country, is treated as outside the customs territory and offers companies operating there specific tax and trade facilities.

Full Certification Audit (Tam Tasdik)

Tam tasdik (full certification) is a service in which a sworn fiscal adviser under contract reviews a taxpayer's annual income or corporate tax return and financial statements and certifies them in a formal report.

Income Tax Withholding Incentive (Gelir Vergisi Stopaj Teşviki)

The income tax withholding incentive cancels the income tax calculated on the wages of qualifying staff working in R&D centres, design centres and technology development zones in Türkiye.

Independent Audit (KGK)

Independent audit in Türkiye is the examination of a company's financial statements against the applicable reporting standards by auditors authorised by the Public Oversight Authority (KGK), concluding in a formal opinion.

IPARD (Instrument for Pre-Accession Assistance for Rural Development)

IPARD is the European Union's pre-accession instrument providing grant support for investments in agriculture, livestock, food processing and rural development in Türkiye.

KOSGEB (Small and Medium Enterprises Development Organisation)

KOSGEB is the public organisation, attached to Türkiye's Ministry of Industry and Technology, that provides grants, interest-free loans and advisory support to small and medium-sized enterprises.

R&D Centre (Ar-Ge Merkezi)

An Ar-Ge Merkezi (R&D centre) is a status certified by Türkiye's Ministry of Industry and Technology under Law No. 5746, granting tax and social security reliefs for research and development carried out on the company's own premises.

Real Estate Investment Fund (GYF)

A Gayrimenkul Yatırım Fonu (GYF) is a Türkiye-domiciled real estate investment fund, formed under Capital Markets Board rules, that invests capital raised from qualified investors in property and property-based rights.

Social Security Premium Incentive (SGK Teşviki)

An SGK incentive is an arrangement under which the state covers part of an employer's social security contributions to the Social Security Institution, where the business meets the qualifying conditions.

Sworn Fiscal Adviser (Yeminli Mali Müşavir, YMM)

A Yeminli Mali Müşavir (YMM) is a licensed professional under Türkiye's Law No. 3568 who is authorised to examine and certify taxpayers' tax returns and financial statements.

Technology Development Zone (Technopark / Teknokent)

A Technology Development Zone (teknopark) is a designated site under Türkiye's Law No. 4691, usually attached to a university, where companies carrying out R&D and software activities benefit from dedicated tax incentives.

Technology-Oriented Industry Move Programme (HAMLE)

The Technology-Oriented Industry Move Programme (HAMLE) is a call-based support programme run by Türkiye's Ministry of Industry and Technology to bring the domestic production of medium-high and high technology products onshore.

TEKMER (Technology Development Centre)

A TEKMER is a technology development centre set up with KOSGEB inside a university or research institution, providing incubation space, mentoring and access to support programmes for technology-based start-ups.

Transfer Pricing (Transfer Fiyatlandırması)

Transfer pricing is the area of Turkish tax law requiring transactions in goods, services and rights between related parties to be priced at arm's length and supported by documentation.

VAT Refund (KDV İadesi)

A VAT refund in Türkiye is the return to the taxpayer of input VAT that cannot be recovered through offset, typically because of exempt transactions such as exports or the application of reduced rates.

Venture Capital Investment Fund (GSYF)

A Girişim Sermayesi Yatırım Fonu (GSYF) is a Türkiye-domiciled venture capital fund, established under Capital Markets Board rules, that pools money from qualified investors and invests it in start-ups.

Withholding and Premium Service Declaration (Muhtasar ve Prim Hizmet Beyannamesi)

The Muhtasar ve Prim Hizmet Beyannamesi is the combined return through which employers in Türkiye report income tax withheld at source together with employees' social security premium and service data.