Overview
Turkey has a growing app development community with a unique tax and payment landscape. Whether you are a Turkish developer publishing globally or considering a Turkish entity, understanding these rules matters.
As of 2026, Turkey offers significant tax advantages for software exports alongside distinctive obligations on digital services.
The 5% Digital Services Tax (reduced from 7.5% in 2026, dropping to 2.5% in 2027)
Turkey was among the first countries to implement a digital services tax:
- Rate: 5% on gross revenue from digital services (reduced from 7.5% in 2026) in Turkey
- Who pays: Large platforms (Google, Apple, Meta) with global revenue over 750 million euros and Turkish revenue over 20 million TRY
- Developer impact: You do not pay DST directly. It applies to the platforms, not individual developers or small studios
VAT on App Sales
Turkey applies 20% VAT (KDV) on digital services sold to Turkish consumers. Apple and Google collect and remit this on your behalf.
The key advantage: Software and app services sold to customers outside Turkey are classified as service exports, exempt from VAT. If you sell globally from Turkey, you pay 0% VAT on international revenue.
Corporate Tax
Standard rate is 25% (2026). But technology companies have powerful reductions:
Teknokent Benefits
Companies in registered Technology Development Zones get:
- Corporate tax exemption on software income from the zone
- Income tax exemption for R&D personnel
- VAT exemption on software produced in the zone
4% Effective Rate on Tech Exports
Software exports qualify for a 50% deduction on taxable income. Combined with Teknokent benefits, effective corporate tax can drop to approximately 4%. This applies to international app sales, SaaS subscriptions from abroad, and development services for overseas clients.
Documentation requirements include Teknokent registration, R&D activity records, and proper export invoicing.
Payment Challenges
Stripe is not available in Turkey as of 2026. This is the biggest hurdle for web-based monetization. Local alternatives (PayTR, iyzico, Papara) exist but have category restrictions and added complexity.
Apple and Google IAP work normally. This is why many Turkish developers adopt a mobile-first monetization strategy, using app stores as primary payment channels.
Setting Up a Turkish Company
- Limited Sirket (Ltd. Sti.) is the standard structure
- Minimum capital: 10,000 TRY (approximately $300)
- Formation: 1-3 business days through MERSIS digital system
- Annual accounting and tax filing through a certified accountant (SMMM)
Tax Calendar
| Obligation | Frequency | Deadline |
|---|---|---|
| VAT (KDV) | Monthly | 28th of following month |
| Corporate tax advance | Quarterly | 17th of quarter |
| Annual corporate tax | Annual | April 30 |
| Social security (SGK) | Monthly | End of following month |
Practical Tips for International Developers
If you are not based in Turkey but want to leverage its tax benefits, forming a Turkish entity is straightforward. Many international developers partner with a local accountant and Teknokent to access the incentive stack. The combination of VAT-free exports, low corporate tax, and functioning App Store and Google Play billing makes Turkey a viable base for mobile-first businesses.
Key Takeaways
- Individual developers do not pay the 5% DST
- Software exports are VAT-exempt
- Teknokent registration can reduce corporate tax to about 4% on exports
- Stripe unavailable; Apple/Google IAP are the practical payment channels
- Company formation is fast and affordable