Limited Company (LLC)
A Limited Company in Turkey can be set with at least 1 founder. Minimum capital requirement is 10.000 TL. The liability of the shareholders is limited with the share capital. The founders can be real persons or legal entities. Similar to Joint Stock Companies in other respects, Limited Companies cannot issue stock certificates. The features of the limited companies in Turkey are shown below.
| Governing Law: | Turkish Commercial Code |
| Legal Status: | Independent Turkish Company |
| Incorporation: | Trade Registry Office |
| Founding Shareholders: | At least 1( real persons or legal entities) |
| Founders Nationality: | Free |
| Capital Requirement: | At least 10.000 YTL(Minimum Share price 25 TL) |
| Shareholder Liability: | Limited with the share capital except for tax liabilities |
| Dividends: | Allowed |
| Issuing Stocks: | Not allowed |
| Management: | Managing Partners, no board required. At least one manager must be one of the managers. |
| Governance: | Partners Assembly Meeting |
| Transfer Of Shares: | Allowed ( notary submission obligatory) |
| Taxation Liabilities: | Tax resident, worldwide liability. Corporation Tax at %22 (2008) |
| Dividend Withholding Tax: | 15 % on dividends distributed to individual and foreign corporate shareholders (not applicable to resident entities) dividend withholding tax Depends on the double taxation agreement between Turkey and shareholder company’s country. |
| Taxes: | Salary withholding tax(monthly or three monthly)
Value added tax(monthly) Stamp tax Social security premiums (monthly) |
This publication has been prepared for informational purposes only. None of information contained in this publication shall constitute legal, tax, accounting advice.