Important Tax Incentives and Discounts for Companies

• Ali Rıza Deniz

Important Tax Incentives and Discounts for Companies

Tax planning is one of the cornerstones of every business's financial strategy. Particularly in a dynamic economy like Turkey, taking advantage of tax incentives and discounts can provide competitive advantages and cost savings. This article provides information on significant tax incentives and discounts available to companies and how these opportunities can be utilized.

Investment Incentives

Turkey offers various tax deductions, insurance premium supports, and investment credits to encourage both domestic and foreign investors. Especially, projects that enhance employment, investments in renewable energy sources, and R&D activities can benefit from these incentives. Companies obtaining an investment incentive certificate also enjoy advantages such as VAT exemption and customs duty exemption.

R&D and Innovation Incentives

R&D incentives are crucial for companies contributing to technological advancement. These incentives include supports for setting up R&D centers, university-industry collaboration projects, and the protection and commercialization of intellectual property rights such as patents. Tax deductions on R&D expenditures are a significant factor encouraging investments in this area.

Employment Incentives

Increasing employment not only contributes to economic growth but also provides employers access to tax reductions and insurance premium supports. Particularly, the employment of young and female workers, as well as disabled and long-term unemployed individuals, is supported by the government.

VAT Exemptions and Discounts

Some sectors and services can benefit from VAT exemption. For example, export transactions, international transportation services, and certain educational and health services are exempt from VAT. Such exemptions lighten the financial burden on businesses and enhance their international competitiveness.

The Importance of Tax Consultancy

Having accurate and up-to-date information about tax incentives and discounts is crucial for businesses. Working with an expert tax consultant offers the opportunity to maximize existing and potential tax advantages. At Zeugma Tax & Law, we provide strategic tax planning and consulting services aimed at reducing the tax burdens of companies and enhancing their financial performance.

For companies operating in Turkey, tax incentives and discounts offer valuable opportunities to optimize costs and increase profitability. To fully benefit from these advantages, you can leverage the expertise of Zeugma Tax & Law.