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10 Reasons to Invest in Turkey
Investors' Guide
Prior to Arrival in Turkey
Work Permit
Residence Permit
Exceptional Acquisition of Citizenship
Establishing a Business in Turkey
Transferring Assets
Cost of Doing Business in Turkey
Access to Finance
Incentives
Employees and Social Security
Terms of Employment
Termination of Employment Contract
Turkish Social Security System
Taxes
Investment Zones
Demographics
Regulatory and Supervisory Authorities
Macroeconomic Indicators
FDI in Turkey
Foreign Trade
Investment Legislation
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Cost of Doing Business in Turkey  

Minimum Monthly Wage (gross and net)

 

USD

Net Minimum Wage

382.02

Gross Minimum Wage

483.62

  • Social security premium payment (14%)

67.69

  • Payment for unemployment insurance fund (1%)

4.83

  • Income tax (15%)*

25.39

  • Minimum living allowance**

36.27

  • Stamp tax (0.759%)

3.67

Total Deduction

101.60

Employer Cost

  • Gross minimum wage

483.62

  • Employer’s share of social security premium (15.5%)***

74.96

  • Employer's payment for unemployment insurance fund (2%)

9.67

Total Employer Cost

568.26

* Calculation of income tax is [(483.62 - 67.69 - 4.83) x 0.15] - 36.27 = 25.39

** For single individuals without children and may vary according to marital status and number of children.

*** For premiums that are paid in due time, as an incentive, a five-point reduction is applied (down from 20.5% to 15.5%).

Source: Ministry of Family and Labor

Valid for January 1, 2019 – December 31, 2019

USD 1 = TRY 5.29, as of January 2019

Cost of Electricity

Consumers Purchasing Electricity from Commissioned Supply Companies

Distribution System Users

Capacity

Active Energy + Distribution

Reactive Energy

Capacity Charge

Over-Capacity Charge

Standard

Daytime

Peak

Nighttime

TRYcent/kWh

TRYcent /kWh

TRYcent /kWh

TRYcent /kWh

TRYcent /kWh

TRYcent/kWh

TRYcent/kWh

Medium Voltage

Double Term

Industry

256.8597

513.7194

44.0625

44.5715

68.9052

24.9319

22.2020

Single Term

Industry

N/A

N/A

44.7785

45.2876

69.6214

25.6479

22.2020

Low Voltage

Single Term

Industry

N/A

N/A

49.7121

50.2210

74.5548

30.5814

22.2020

System Usage Tariffs for Consumers Purchasing Electricity from Private Suppliers*

Capacity

Distribution Tariff

Reactive Energy

Capacity Charge

Over-Capacity Charge

TRYcent/kWh

TRYcent/kWh

TRYcent/kWh

TRYcent/kWh

Medium Voltage

Double Term

Industry

256.8597

513.7194

6.8024

22.2020

Single Term

Industry

N/A

N/A

7.5139

22.2020

Low Voltage

Single Term

Industry

N/A

N/A

11.6255

22.2020

Multiple tariff application for November-March period: 07.00-18.00 daytime; 18.00-22.00 peak; 22.00-07.00 nighttime.

Multiple Tariff application for April-October period: 06.00-17.00 daytime, 17.00-22.00 peak; 22.00-06.00 nighttime

Capacity Charge: Monthly fixed-fee calculated per kW based on the “contract power” specified in connection contract and charged to double-term consumers connected to distribution system

Over-Capacity Charge: monthly fee calculated per kW for amount of power exceeding the “contracted power” specified in the connection contract and charged to double-term consumers connected to distribution system

Double-Term tariff: Tariff class charged for “distribution fee over the amount of active energy flow (kWh) received from the distribution system or given to the distribution system”, plus capacity-charge calculated per kW specified in the connection contract, plus over-capacity charge for the power (in kW) exceeding the “contract power.”

Single-term Tariff: The tariff class charged for distribution fee only through the amount of active energy flow (kWh) received from the distribution system or given to the distribution system.

*The active energy price is not reflected in the table, as the price is determined bilaterally between the consumer and the supplier.

Source: Energy Market Regulatory Authority (EMRA)

Cost of Water for Industrial Use

Reference Price USD/m3

Type of Customer

Water

Waste Water

Water VAT (%)

Industry

2.17

Included

8

Reference Price USD/m3

Organized

Industrial Zones (OIZs)

Water

Water VAT (%)

Waste Water

Waste

Water VAT (%)

Eskişehir OIZ

0.12

8

0.12

8

Antalya OIZ

0.9

8

-

-

Source: Istanbul Water and Sewerage Administration (ISKI)

Eskişehir Water and Sewerage Administration & Antalya Water and Sewerage Administration

USD 1 = TRY 5.29 as of January 2019

Cost of Natural Gas*

Gas Sales Tariff for Customers

that have a Signed a Gas Sales Agreement with BOTAS

USD/kWh

USD/Sm³

Less than 300.000 Sm³

0.016

0.168

OIZ

0.022

0.254

More than 300.001 Sm³

0.022

0.255

Source: Petroleum Pipeline Corporation (BOTAS)

* Excluding SCT and VAT

USD 1 = TRY 5.29 as of January 2019

Cost of Broadband Services

Fibernet and Hypernet

(USD/month)

Download Speed (Mbps) - unlimited tariffs

Price

Up to 24

51

Up to 35

60

Up to 50

75

Up to 100

104

Up to 1000

165

Metro Ethernet and G.SHDSL

Requirement specific

Source: TTNET, Superonline

All taxes included.

USD 1 = TRY 5.29 as of January 2019