Company Accounting and Tax in Türkiye for Foreigners | Rafiq
Every company registered in Türkiye must keep books and file periodic tax returns from its registration date, even before trading starts. The Revenue Administration (GİB) oversees taxes and e-invoicing, the Social Security Institution (SGK) employee insurance, and in practice a licensed accountant (mali müşavir) prepares the books and returns. This guide covers the core obligations and the costliest mistakes; Rafiq coordinates a licensed accountant and explains in your language what they need.
Who must keep books and file tax returns in Türkiye?
Every taxpayer registered with the tax office must, from limited and joint-stock companies to sole proprietors (şahıs şirketi), and the obligation starts on the registration date, not with the first sale. Tax Procedure Law No. 213 (VUK) sets out the mandatory books, which today are mostly kept electronically through the e-ledger system (e-Defter). Law No. 3568 restricts keeping books and preparing returns for others to licensed accountants (SMMM) registered with TÜRMOB. A dormant company must still file its returns, even zero ones, and books and records must be kept for at least five years under VUK and ten years under the Turkish Commercial Code.
Which taxes and systems apply to your business?
Businesses in Türkiye face several overlapping obligations overseen by GİB. Value added tax (KDV) applies to most sales of goods and services and is usually declared monthly; corporate tax (Kurumlar Vergisi) is levied on the profits of companies with legal personality; income tax (Gelir Vergisi) covers individuals and sole proprietors; and withholding tax (stopaj) is deducted from salaries and certain payments. The monthly payroll return goes to GİB and SGK together as one combined return (muhtasar ve prim hizmet beyannamesi). Invoices are issued digitally via e-Fatura for obligated taxpayers or e-Arşiv for others. Rates and thresholds change by official decision, and Rafiq gives you the current position when you get in touch.
What are the most common accounting mistakes foreign business owners make?
The costliest mistakes are the ones that pile up quietly: mixing company money with a personal account, which muddles the books and draws questions from the bank and the tax inspector; skipping returns in months with no activity, since every late return triggers automatic penalties and late interest; issuing a paper or e-Arşiv invoice to a party that must be invoiced through e-Fatura; letting an employee start before SGK registration, when Law No. 5510 generally requires registration before work begins; and relying on an unlicensed person for returns, because liability stays with the company and its manager. Rafiq coordinates a licensed accountant who tracks these deadlines every month.
Common questions
Does my company have to file tax returns if it has no activity?
Yes. A company registered as a taxpayer must file its periodic returns on time even if it earns nothing; these are then called zero returns. The obligation starts from registration with the trade registry and the tax office, and each late filing counts as a separate violation that carries penalties.
Can I keep my company's books myself without an accountant in Türkiye?
In practice, usually not. Law No. 3568 reserves keeping books and preparing returns for others to licensed accountants (SMMM), which is why limited and joint-stock companies almost always work with one. Relying on an unlicensed person also does not remove the liability of the company and its manager before the tax office.
Is every company in Türkiye required to use e-Fatura?
No, not necessarily. GİB defines who must use e-Fatura using criteria such as annual revenue and certain sectors like e-commerce and real estate; those outside the obligation issue invoices through e-Arşiv. The thresholds have been lowered several times, so your company may become obligated without noticing, which is why its status should be reviewed regularly.
Official sources
The information on this page follows what these official authorities publish; the final decision in every procedure is theirs: