Who Needs to Register

Businesses conducting taxable commercial, industrial, agricultural, or professional activity in Turkey generally need to register for VAT, including foreign-owned companies operating in the country. Certain activities carry specific exemptions or different treatment — don't assume your business is automatically in or out of scope without confirming with an accountant.

Turkey's VAT Rate Structure

Turkey uses multiple KDV rate tiers rather than one flat rate: a standard rate applying to most goods and services, a reduced rate covering categories such as certain textiles, furniture, and food and beverage services, and a further reduced rate for essential foodstuffs like bread and legumes. Exported goods and services are generally zero-rated. Because specific rates and which category a given product or service falls into are adjusted periodically, verify the current rate applicable to your specific goods or services directly with GİB or your accountant rather than relying on a number from an older source.

Registration Process

WhereThe local tax office (vergi dairesi) covering your business address
WhenTypically as part of the broader company formation process, not a separate later step
What's neededCompany formation documents, tax identification details, and business address confirmation

Filing Frequency and E-Invoicing

VAT returns are generally filed on a regular periodic basis (commonly monthly for most businesses), though exact filing frequency can depend on business type and size. Many businesses above certain revenue thresholds or operating in certain sectors are also required to use Turkey's e-invoice (e-fatura) and related e-document systems — foreign-owned companies aren't automatically exempt from this requirement, so confirm your specific e-invoicing obligation with your accountant based on your company's revenue and sector.

What This Guide Doesn't Cover

This article stays focused on VAT specifically. For income tax, corporate tax, and tax residency concepts, see our broader Turkey tax system guide; for the company formation process itself, that's a separate topic from ongoing VAT compliance.