Who Can Operate in the Istanbul Specialized Free Zone?

A Specialized Free Zone for Technology and Export Oriented Companies

By Presidential Decision dated 20 February 2020, the Istanbul Specialized Free Zone (ISBI) was granted specialized free zone status for companies operating in software, information technologies, medium-high technology, advanced technology manufacturing and foreign-currency-earning service activities.

In the assessment of companies wishing to operate at ISBI, the export performance and activity criteria set out in the relevant legislation are taken into account.

Does Your Company Meet the Export Criterion for the Last 3 Years?

The term of the operating licence and the conditions for benefiting from additional support are assessed according to your company's export performance over the last three years.

1. Companies That Meet the Export Criterion

Companies whose export performance over the last three years meets the threshold set out in the relevant legislation may be entitled to a long-term operating licence and to additional support programmes.

Principal Advantages Offered

• A 20-year operating licence

• Corporate tax advantage (within the scope of the relevant legislation)

• Employee income tax exemption (in line with the conditions set out in the legislation)

• VAT and stamp duty exemption

• Customs duty exemption

Additional Support Programmes

Companies meeting the specified criteria can also benefit from additional support mechanisms.

Rent Support

• Support of up to 50% of workplace rental expenditure

• Up to USD 75,000 per year

• For a period of 5 years

• Provided that the relevant export performance conditions are met

Qualified Personnel Support

• Up to 10 qualified employees

• Support towards employee salaries

• Up to USD 150,000 per year

• For a period of 5 years

• Provided that the relevant export performance conditions are met

Companies That Do Not Yet Meet the Export Criterion

Companies that do not yet meet the specified export threshold can also operate in the Istanbul Specialized Free Zone and benefit from free zone incentives.

Advantages Offered at the Initial Stage

• A 3-year operating licence

• Corporate tax advantage (within the scope of the relevant legislation)

• Employee income tax exemption

• VAT and stamp duty exemption

• Customs duty exemption

Licence and Support Opportunities Based on Performance

Companies that bring their export performance up to the relevant criteria during the first 3-year operating period may;

• apply to the rent support programme.

• benefit from qualified personnel salary support.

Who Is It Suitable For?

ISBI has been designed in particular for companies operating in the following fields:

• Software companies

• IT and technology firms

• Artificial intelligence and digital technology start-ups

• R&D centres

• Electronics and advanced technology manufacturers

• Defence and aviation technologies

• Medical technology companies

• Businesses providing foreign-currency-earning services

With its tax advantages, long-term operating opportunities and technology-focused support programmes, the Istanbul Specialized Free Zone is one of the leading specialized free zones strengthening Turkiye's high value-added production and export ecosystem.

Important note: Operating licence terms, tax exemptions and support programmes are applied within the framework of the Free Zones legislation in force and the conditions determined by the Republic of Turkiye Ministry of Trade. It is recommended that current criteria be assessed with ISBI experts before applying.