Istanbul Finance Center Tax Benefits: A Simple Guide for Businesses
The Istanbul Finance Center (IFC) is a major project aimed at boosting Turkey’s economy and attracting global investors by offering attractive tax benefits.
The IFC plans to be a regional financial hub soon and a global one later. It will host banks, asset management firms, insurance companies, and financial institutions from Turkey and abroad.
Key Points:
- IFC Overview: A financial hub in Istanbul with various services like asset management, fintech, and more.
- Tax Benefits: IFC offers tax deductions and exemptions for businesses and employees.
- Activities: The IFC covers a wide range of financial activities from asset management to tax consulting.
- Application Process: Obtain a participant certificate and register through the IFM Portal to enjoy the IFC’s tax benefits.
Some of the tax advantages offered by the IFC include:
- 75% to 100% tax deduction on profits from financial service exportation.
- Exemptions from fees and stamp duties related to financial activities.
- Graduated income tax exemptions for employees with international experience.
The Istanbul Finance Center covers various financial activities, such as:
- Asset management, fund management, and portfolio management.
- Capital markets and investment banking.
- Retail banking, digital banking, and open banking.
- Family offices, private banking, and private equity.
- Insurance and reinsurance.
- Tax, law, and consulting firms.
To apply for the IFC and its tax benefits, follow these steps:
- Obtain a participant certificate by applying to the One-Stop Office (Tek Durak Büro) and register on the IFM Portal.
- Rent office space in the IFC.
In summary, the Istanbul Finance Center offers numerous benefits for businesses in the finance sector. With its strategic location and advanced infrastructure, the IFC is set to become a leading financial center in the region.
