Foreign Companies can open branches in Turkey. The removal of the pre-setup approval has made it easier for foreign companies to open branches in Turkey. To view the features of a Company Branch, setup procedure, documentary requirements or the Certification and Legalisation services the Chamber can provide in the UK, select from below:
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Governing Law |
Turkish Commercial Code |
Legal Status |
Foreign Entity |
Approval |
Ministry of Industry and Commerce |
Purpose of Business |
Main Company |
Registration Procedure |
Click on Branch Opening Procedure |
Documents Required |
Click on Documentary Requirements |
Founding Shareholders |
Not Allowed |
Founders Nationality |
Free |
Capital Requirement |
Capital dividends into shares |
Branch Capital |
Not Required |
| Liability |
Liability of the Parent Company |
| Issuing Stocks |
Not Allowed |
Dividends |
Allowed |
Management |
At least 1 Branch Director |
Governance |
Branch Director's Power of Attorney |
Deposit Account |
Allowed |
Incentives |
Allowed but difficult. |
Transfer Of Shares |
Allowed |
Foreign Currency |
Foreign Currency usage allowed |
Taxation Liabilities |
Non-resident status; liability only on Turkish sourced income
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Dividend Withholding Tax |
Applicable only if profits are transferred to the parent company
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Inflation Accounting |
Applicable to certain Non-monetary items
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Billing
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In Turkish currency made only to Turkish entities. Indexation of TL amount on the invoice to foreign currency allowed |
The Ministry of Industry and Trade is the permit issuing authority for opening a branch of a company based outside Turkey . Branch opening, changes to be made in the representative, title, business type, address and capital of the company, closing down, or opening secondary branches are subject to the approval by the Ministry.
An application to open a branch must be submitted to the Ministry signed by the authorised representative of the Company. The application and its enclosures should be posted to the Ministry Directorate at the address shown in the next section. The application must include:
- Company's title, nationality, date of establishment, address and capital
- Name, nationality and address of the authorised representative residing in Turkey
- Business activities of the branch
- Letter of Commitment in accordance with Article 29 of the Trade Registry Regulation
- All the documents listed in the section below
- Turkish translations of documents prepared in a foreign language
Certain documents, including the branch-opening permit from the Ministry of Industry and Trade, must be submitted to the Trade Registry Office. These documents are listed in the document section below.
- Company's written confirmation of the decision to open a Branch
- An original copy of the company's Articles of Association
- Establishment and Current Status Documents showing the registration and current legal status of the Company
- A Power of Attorney drawn by the Company in favour of its resident representative, assigning full representation and accountability.
These documents must be certified and legalised (apostilled) in the UK . Click on Document Certification or Document Legalisation to use the unique certification and legalisation services provided by TBCCI .
- An application in the Turkish language signed by an authorised person
- Branch-opening permit obtained from the Ministry of Industry and Trade
- 2 notarised and legalised copies of the Power of Attorney (To view the legalisation services TBCCI can provide, click on Document Legalisation
- Turkish document ' Müzeyyel Beyanname ve ilanı'
- If the branch representative is a Turkish national, a notarised copy of his ID card, if not, a notarised copy of the passport of the foreign authorised representative
- Company signature authority showing t he representative's signature specimen and title
- Letter of Commitment in accordance with Article 29 of the Trade Registry Regulation
- A Chamber Registry Declaration Form, obtained from Trade Registry Office
All documents and forms required by the Ministry of Industry and Trade must be submitted to the Directorate General of Domestic Trade at:
Sanayi ve Ticaret Bakanlığı,
İç Ticaret Genel Müdürlüğü
Eskişehir Yolu 7. Km.
Ankara,
Turkey
Document and forms required by the Trade Registry Office should be submitted to the Trade Registry Office for the place of the Branch. You are advised to check with investmentadvisoryservice@hazine.gov.tr about the documents and forms to be completed. To access these documents and forms, click on the web sites below:
Ministry of Industry and Commerce
Turkish Treasury
Office of the First Economic Counsellor, London
All the documents mentioned above as required by the Ministry of Industry and Trade and some needed by Trade Registry Office require certification and legalisation in the UK.
Click on Document Certification or Document Legalisation to use the unique certification and legalisation services provided by TBCCI .
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