0% VAT on International Freight
Under Turkish VAT Law Article 14, international transport services are 100% exempt from VAT.
RECOMMENDED ENTITY
Limited Liability Company (LLC)
The industry standard for agency agreements, shipping line contracts, and transport permits.
OFFICE REQUIREMENTS
Virtual or Commercial Office
Commercial office for forwarding mediation; physical licensed depot for cargo storage.
REQUIRED LICENSES
- Ministry of Transport TİO (Transport Organizer) Authorization License
- Customs Agency & Bill of Lading (B/L) System Entry
- Official Commercial Registry & Tax Certification
- CMR & Freight Insurance Protocol Setup
SECTOR HIGHLIGHTS
Key Operational Strengths
TİO Forwarding License Support
Structuring capital and documentation to fulfill Ministry of Transport regulatory standards.
TAX INCENTIVES & EXEMPTIONS
Sector Tax Advantages in Turkey
✓ International Freight Tax Exemption
Zero-rated VAT treatment on cross-border logistics and shipping services.
FORMATION JOURNEY
Ready in 4 Seamless Steps
STEP 01
Logistics Entity Formation
Establishing the corporate entity with comprehensive multi-modal transport objects.
STEP 02
Commercial Registry & Tax Clearance
Notarizing company books, registering at the Chamber of Commerce, and issuing tax plates.
STEP 03
Transport Ministry Licensing
Executing the TİO license application with the Ministry of Transport.
STEP 04
Banking & International B/L Setup
Activating corporate foreign currency accounts and cross-border invoicing structures.
BARUT GROUP / CORPORATE INTELLIGENCE
Which Corporate Entity Fits Your Business?
Compare legal liability, partnership flexibility, and tax structures to choose the ideal business vehicle in Turkey.
Select Your Profile:
Sole Proprietorship
Sole Proprietorship
Fast single-person registered enterprise.
Legal & Financial Liability
Unlimited (Personal assets are fully liable)
Foreign Partner Capacity
Strictly 1 person (Cannot add partners)
Work Permit Feasibility
Restricted and higher scrutiny
Tax Structure
Progressive Income Tax (15% to 40%)
Best Suited For
Freelancers, independent consultants, and early-stage solo e-commerce sellers.
MOST POPULAR FOR FOREIGN INVESTORS
Limited Liability Company (LLC)
Limited Liability (LLC)
The most secure and flexible standard for business and trading.
Legal & Financial Liability
Limited (Protected strictly to company registered capital)
Foreign Partner Capacity
1 to 50 partners (Allows 100% foreign ownership)
Work Permit Feasibility
Optimal (Standard vehicle for investor work permits)
Tax Structure
Flat Corporate Income Tax (25%)
Best Suited For
E-commerce, import/export, tech startups, logistics, consulting, and growth companies.
Joint Stock Company (JSC)
Joint Stock (A.Ş.)
Large-scale capital projects and frictionless share transfers.
Legal & Financial Liability
Limited (Strictly restricted to subscribed shares)
Foreign Partner Capacity
1 person to unlimited shareholders
Work Permit Feasibility
Available for board members and directors
Tax Structure
Flat Corporate Income Tax (25%)
Best Suited For
Industrial manufacturing, investment funds, holding structures, and IPO goals.
FAQ
Frequently Asked Questions
Do international freight invoices in Turkey include VAT?
No, international shipping and freight forwarding services originating from or terminating in Turkey are 0% VAT exempt.
SECTOR DIRECTORY
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