Bayraktar Attorneys helps foreign individuals and companies claim the VAT exemptions available under Turkish law. We check whether you qualify, prepare the documents, obtain the exemption certificate and deal with the tax office for you, all in English.
The best known exemption is for the first sale of property to buyers who bring foreign currency into Turkey, but businesses can also save VAT on exports and on purchases made under an investment incentive certificate. We make sure you claim what you are entitled to, in the right way.
Talk to an English-speaking tax lawyer about your VAT exemption today. The first consultation is free and there is no obligation.
VAT rules in Turkey are detailed, and one missed step can cost you the saving. Our team works with foreign buyers and businesses every day and manages the exemption from the first eligibility check to the certificate in your hands.
We handle the whole process, so nothing is left to chance:
Turkey encourages foreign investment in real estate by exempting qualifying property sales from VAT. The exemption sits in the VAT Law (Law No. 3065) and is a real, well-used relief, but it only applies when each condition is met. We confirm the details for your specific purchase before you rely on it.
The relief is aimed at buyers who live outside Turkey. In general it covers foreign nationals who are not resident in Turkey, Turkish citizens who have lived abroad for more than six months with a work or residence permit, and foreign companies that do not earn income through a permanent establishment or representative in Turkey. We check that you fall within one of these groups first.
The sale must be the first delivery of the property, usually from the developer or builder, and the property must be a completed home or workplace. The price has to be paid in foreign currency brought into Turkey, and the payment needs to be documented correctly. The order in which these steps happen matters, so we plan them with you and your seller.
The law sets a minimum holding period during which the property should not be resold. This period is fixed by statute and has changed over the years, so we confirm the rule that applies to your purchase. If you sell before it ends, the VAT that was exempted generally becomes payable, usually together with interest.
Foreign-owned and local companies can also reduce VAT in several ways. We review what your business does and identify the reliefs you can claim, then handle the paperwork and the filings.
Exports of goods, and many services supplied to customers abroad, are generally exempt from VAT. We help you apply the exemption correctly and keep the records that support it, so the saving holds up if the tax office reviews it.
Companies holding an investment incentive certificate can often buy qualifying machinery and equipment free of VAT. We advise on the certificate and on using this relief as part of setting up or expanding your operation, alongside company formation where relevant.
Claiming an exemption is only worthwhile if the rest of your VAT position is in order. We keep your business compliant with registration, invoicing, reporting and filing so that your exemptions are not put at risk by a paperwork problem.
Turkey applies a general VAT rate, currently 20%, with reduced rates on some goods and services. On a property purchase this can be a large sum, which is why the exemption matters so much to foreign buyers.
An exemption means the sale is treated as VAT-free rather than taxed at a lower rate. We explain what the exemption is worth on your purchase or business activity, confirm the current rates, and set out the conditions in plain terms so you know exactly where you stand.
The exact paperwork depends on whether you are a property buyer or a business, but in most cases you will need:
We learn what you are buying or doing in Turkey and confirm whether an exemption is available, before you commit to anything.
We check the contract or business activity against the legal conditions and set out the steps, including how payments should be made and documented.
We obtain your tax number if needed, gather the supporting documents, and prepare the application under a power of attorney.
We file with the tax office, respond to any questions, and obtain the VAT exemption certificate on your behalf.
We advise on the holding period and keep your VAT filings in order so the exemption is not lost later.
We work daily with foreign buyers and international businesses, entirely in English.
From the eligibility check to the certificate, we can complete everything under a power of attorney.
We tell you clearly whether you qualify, rather than promising a saving that will not hold.
Tax, property and company support from one team, so your exemption fits the bigger picture.
Atty. Nevzat Oğulcan Bayraktar
Confidential, English-speaking tax support for property buyers and businesses in Turkey.
This page provides general information about VAT exemption in Turkey and does not constitute legal advice. For guidance on your specific situation, please contact Bayraktar Attorneys for a consultation.
