Software/Design Export Service Earnings Deduction
CIT Art. 10/1-ğ
The deduction may be reviewed when the listed service, foreign customer, use-abroad and earnings-transfer conditions are met under the current rules.
Limited Company (Ltd. Şti.) Formation
An SME structure for 1–50 shareholders — minimum TRY 50,000 capital with up to 24 months to pay cash capital after registration.
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Key facts
- Setup time
- Depends on the file and Registry schedule
- Min. capital
- TRY 50,000; cash may be paid within 24 months
- Est. cost
- Quote based on founders and documents
- Liability
- Limited for private debts; public debts reviewed separately
- Tax base
- Corporate Tax (25%)
- Shareholders
- 1-50
Overview
A Limited Company (Ltd. Şti.) is a common capital-company structure for SMEs in Türkiye. It may have one to fifty shareholders and minimum capital of TRY 50,000. There is no pre-registration 25% cash-capital block; cash capital may be paid within 24 months after registration under the payment schedule in the articles.
It provides a limited-liability structure for private-law debts, while shareholder and legal-representative exposure for tax and other public debts needs a separate review. It may suit e-commerce, trade, software, consulting and manufacturing businesses. Service-export, technopark or R&D benefits do not arise automatically from the entity type; the activity and statutory conditions must be tested.
A Ltd. share transfer requires a written, notarised transaction, with corporate and registry steps planned for the specific structure. A future funding round alone does not make an A.Ş. mandatory. Investor rights, governance, transfer mechanics and exit plans should be compared together.
Suitable for
- SME founders (growth-oriented)
- E-commerce operators
- Software/SaaS companies (especially exporters)
- Manufacturing, trade, import-export firms
- Family businesses
NOT suitable for
- Ventures that require share-certificate or public-offering infrastructure from the outset
- IPO-bound companies — A.Ş. required
- Employee equity plans that specifically require A.Ş. instruments
- Large participation structures (50+ partners)
Advantages
- Limited-liability structure for private debts
- Flexible partnership (1-50 partners)
- Prestigious corporate image
- CIT Art. 10/1-ğ review for qualifying service-export earnings
- Eligible for technopark and R&D incentives
- Eligible for KOSGEB support
- Easier access to financing (bank loans, government support)
Watch out
- A participation certificate does not have the legal and tax effect of an A.Ş. share certificate
- Share transfer requires a written, notarised transaction
- Min. 50,000 TRY capital commitment
- No IPO path
- Shareholder and legal-representative exposure for public debts needs separate review
Process
- 01
Structure decision
Shareholder count, public-debt exposure, capital, activity and name.
- 02
Articles of association
MERSİS articles; coordination with legal counsel for private-law agreements where needed.
- 03
MERSİS
Online MERSİS application, name check, capital commitment.
- 04
Trade Registry
Signature, chamber, registration and publication steps under the relevant Registry schedule.
- 05
Tax Office
Tax opening and activity-based e-signature/e-document calendar.
- 06
Bank
Separate KYC/AML file for a corporate account and the cash-capital payment plan.
Deliverables
- Articles of Association (notarised, Trade Registry filed)
- Trade Registry Gazette publication
- Tax number + tax certificate
- Signature circular
- E-signature + e-invoice activation
- Bank account opening support
- 30-day operational checklist
Required documents
- Partner ID copies
- Residence documents
- Signature declaration
- Address information
- Activity code (NACE) selection
- Capital amount and partner shares
Cost
Fixed project quote based on shareholder and document scope; registry/chamber, notary, translation and third-party costs are itemised separately.
Timeline
A complete file may be processed quickly; total timing depends on signatures, appointments, Registry review and the separate bank KYC schedule.
Tax benefits and exemptions
Technopark Earnings Exemption (if applicable)
Law No. 4691 provisional Art. 2
Zone admission alone is insufficient; the income or corporate-tax exemption is reviewed through qualifying activity and profit attribution.
KOSGEB Supports
KOSGEB Regulation
For SME-status Ltd. companies — machinery-equipment grants, training/consulting support, rental support.
Legal references
- Turkish Commercial Code (TCC) No. 6102
- Corporate Income Tax Act (CIT) No. 5520
- CIT Art. 10/1-ğ — foreign-service earnings deduction
- Tax Procedure Law
Official sources
Last statutory source check: 8 September 2026
Frequently asked
Limited or Joint-Stock — which?
There is no automatic answer. Funding and transfer plans, governance, shareholder exposure for public debts, capital-payment timing and a possible exit are assessed together.
How to convert Ltd. to A.Ş.?
A conversion may be planned under TCC Art. 180 et seq. Required financial statements, reports, resolutions and Registry documents depend on the company; time and cost are not fixed before file review.
Can a Ltd. be formed with a foreign partner?
Yes. A foreign individual or legal entity may be a shareholder. Apostille or consular authentication plus a notarised Turkish translation is selected by country and issuing authority; apostille is not assumed mandatory for every file.