Government Incentives and Support in Turkey

Benefits of Government Incentives and Supports in Turkey?

Government Incentives and Supports in Turkey are critical for economic growth and business development. These incentives target entrepreneurs and businesses in various sectors, encouraging investments, revitalizing the labor market, and supporting R&D and innovation activities. These supports, which especially contribute to the development of SMEs and start-ups, play an important role in Turkey’s economic development.

Incentives are usually offered in different forms such as tax breaks, grants and loans, financial support, export and import facilities. These supports, in line with regional development goals, target investments especially in developing regions. Thus, it aims to ensure a balanced distribution of economic activities throughout the country.

Government support is also a critical tool to increase Turkey’s international competitiveness. Thanks to these supports, it is facilitated for domestic producers to be more competitive in international markets, to open up to new markets and to integrate into global supply chains.

For entrepreneurs and business owners, taking advantage of these incentives can sometimes be a complex and challenging process. Therefore, it is of great importance to understand the details of incentive and support programs well, to identify the appropriate ones, and to manage the application processes correctly. This guide has been prepared to provide an overview of government incentives and supports in Turkey and to guide these processes.

What are the Government Incentives and Supports in Turkey?

The dynamic nature of the Turkish economy and the ever-changing global conditions require the government to constantly update its incentive and support programs for various sectors. In this article, we will provide a detailed analysis of the government incentives and supports implemented in Turkey, examining their impact on the economy and their possibilities for potential investors.

Investment Incentives and Practices

Categories of Incentive System: Investment incentive systems in Turkey cover general, regional, large-scale, strategic, and private sector investments.

Sectoral and Regional Incentives: Incentives especially for sectors such as technology, energy, tourism and automotive, as well as priority regions in development.

Research and Development (R&D) Incentives

R&D Centers and Tax Advantages: Tax deductions, SSI premium support and other financial incentives provided for R&D activities carried out in these centers.

Technology Development Zones: VAT exemption, income tax withholding support and investment contribution rates for companies operating in these zones.

Employment Incentives

Supports for the Labor Market: Training programs and employment incentives provided to reduce the unemployment rate and increase the qualified workforce.

Social Security Premium Discounts: SSI premium discounts provided under certain conditions to ease the burden of employers.

Incentives for the Energy Sector

Incentives for Renewable Energy Sources: Financial supports, tax breaks and customs exemptions for solar, wind, hydroelectric and geothermal energy projects.

Energy Efficiency Projects: Grant and  loan opportunities for energy-saving technologies and projects.

Agriculture and Rural Development Incentives

Agricultural Support Programs: Various grant and loan programs, diesel, fertilizer and seed supports to increase agricultural production.

Rural Development Investments: Supports and incentives provided to stimulate economic activities in rural areas.

Foreign Trade and Export Incentives

Export Incentive Programs: VAT refund, export credits and market research supports for exporters.

Ease of Access to International Markets: Fair participation support, promotion and marketing support for exporters.

Supports for Culture, Tourism and Creative Arts Sector

Protection of Cultural Heritage: Financial support for the protection of historical and cultural heritage and restoration works.

Tourism Investments: VAT exemptions, tax deductions and credit opportunities provided to businesses that will invest in the tourism sector.

What is the Importance of Incentives in Turkey?

Government incentives and supports in Turkey are important tools that contribute to the growth of entrepreneurs and businesses. The purpose of this guide is to provide information on how these incentives and supports can be used and to guide the needs of the business world.

Various incentives and supports provided in areas such as investment, R&D, exports, and employment accelerate Turkey’s economic development and increase its competitiveness. These supports offer great opportunities especially for SMEs and start-ups and support their sustainable growth. However, the maximum benefit from these incentives sağlamak için, businesses and entrepreneurs need to have the right information and manage the processes correctly.

The information provided by this guide is designed to help businesses that want to understand and take advantage of Government Incentives and Supports in Turkey. Detailed information about the application processes, eligibility criteria, and different types of incentives allows businesses to find incentives that fit their needs and successfully complete the application process.

In conclusion, government incentives and supports in Turkey are of great importance for the growth of the business world and the revival of the economy. This guide aims to contribute to the overall development of the Turkish economy by providing the necessary information and guidance to make the most of these incentives. Entrepreneurs and businesses taking advantage of these opportunities to create a more competitive and innovative business world will contribute to the overall prosperity of the country.