What can Turkey businesses claim as expenses?
10 common business expenses with GIB (Gelir Idaresi Baskanligi)-compliant rules for limited companies, sole traders and contractors in Turkey.
Ar-Ge Giderleri (Research and Development Expenses)
Yes — and exceptionally well. Turkey's R&D incentive regime allows a 100% deduction of qualifying R&D expenses from taxable income plus an additional 50% bonus deduction under Law No. 5746, giving an effective 150% deduction for qualifying spend. Companies in Technology Development Zones (Teknoloji Gelistirme Bolgeleri) additionally benefit from full Kurumlar Vergisi exemption on software/R&D income.
Arac Giderleri (Company Vehicle Expenses)
Partially deductible. Business-use vehicles and their running costs (fuel, insurance, maintenance) are deductible, but passenger cars used for mixed business and personal purposes are subject to restrictions. Depreciation on passenger cars is capped at specified annual amounts. Commercial vehicles (cargo vans, trucks) are treated more favourably.
Banka Faizleri ve Finansman Giderleri (Bank Interest and Financing Costs)
Partially deductible. Interest on business loans from banks is generally deductible, but Turkey's thin capitalisation rules (Ortü Sermaye) restrict deductibility of interest on related-party loans where debt exceeds equity 3:1. A 10% additional restriction applies to total financial costs (including exchange losses) where they exceed 10% of pre-financing taxable profit under the Finansman Gider Kisitlamasi rule.
Ekipman ve Bilgisayar Giderleri (Equipment and Computer Expenses)
Yes — computers, servers, office equipment, and business machinery are deductible via Amortisman (depreciation) over their prescribed useful lives. Assets costing below TRY 6,900 (2025 threshold) can be expensed in full in the year of purchase. IT equipment is typically depreciated over 4 years (25% straight-line).
Ev Ofis Giderleri (Home Office Expenses)
Partially deductible for sole traders and professionals using a dedicated workspace at home. Companies paying rent to owner-employees for home office use must do so via a documented rental agreement at arm's length. No blanket flat-rate deduction exists as in Germany or the UK — deductible costs must be directly attributable to the business portion of the premises.
Isyeri Kirası (Office and Business Premises Rent)
Yes — rent paid for office space, warehouses, shops, and other business premises is fully deductible as a business expense. The company must withhold 20% Stopaj Vergisi on rental payments made to individual landlords and remit it via the monthly Muhtasar Beyanname. Rent paid to corporate landlords is not subject to withholding.
Mesleki Hizmet Giderleri (Professional Fees — Accountants, Lawyers)
Yes — fees paid to licensed accountants (SMMM/YMM), lawyers, tax advisers, auditors, and other professional service providers are fully deductible business expenses. The paying company must withhold 20% Stopaj Vergisi on payments to individual professionals and report via the monthly Muhtasar Beyanname. Fees paid to professional firms (companies) are not subject to withholding.
Pazarlama ve Reklam Giderleri (Marketing and Advertising)
Yes — advertising and marketing expenses are fully deductible business expenses. This includes digital advertising (Google, Meta, LinkedIn), traditional media, trade fair costs, and promotional materials. Hospitality and entertainment costs (eğlence ve ağırlama) are limited to 0.5% of net sales per year.
Personel Ucretleri (Staff Salaries and Employer Costs)
Yes — employee gross wages plus the employer's SGK contributions (22.5% social security + 2% unemployment insurance = 24.5% on gross wages) are fully deductible business expenses under Gelir Vergisi Kanunu Article 40 and Kurumlar Vergisi Kanunu Article 8. Total employer cost including SGK is deductible in full.
Seyahat Giderleri (Business Travel Expenses)
Yes — documented business travel expenses including flights, hotels, intercity transport, and subsistence allowances (Harcırah) are deductible. Employees receiving Harcırah within the legal rates do not pay income tax on those amounts. International travel requires documentation of business purpose.