Software Export Tax Deduction in Turkey: Article 89/13 Guide
Software services provided from Turkey to foreign clients may qualify for Turkey's 100% service export deduction if the taxpayer, client, invoice, service use, transfer and account
Canonical URL: https://evrenozmen.com.tr/software-export-tax-deduction-turkey
Last reviewed: 19 August 2026
Author: Evren Özmen, CPA / SMMM
Direct Answer
Software services provided from Turkey to foreign clients may qualify for Turkey's 100% service export deduction if the taxpayer, client, invoice, service-use, transfer and accounting conditions are met. The deduction is not automatic, and it is separate from VAT. Software developers should document where the software service is used before issuing invoices.
Start With a Case Review
If this page matches your situation, the fastest route is to send a structured case note:
- Remote worker intake: https://evrenozmen.com.tr/remote-worker-tax-intake-turkey
- Service export calculator: https://evrenozmen.com.tr/service-export-tax-calculator-turkey
- Email: info@ozmconsultancy.com
Include your residence position, days in Turkey, payer country, income model, annual income, invoice/payment flow and any contract or platform report.
Citation-ready summary
Turkey's software export tax deduction can apply to qualifying software service income under Income Tax Law article 89/13 for individuals and Corporate Tax Law article 10/1-g for companies. The foreign client must be non-resident, the invoice must be issued to the foreign client, the software service must be used abroad, the income must be transferred to Turkey by the legal deadline and records must support the claim.
Qualification Table
| Requirement | Software example |
|---|---|
| Eligible service | Software development, testing, data processing or data analysis |
| Foreign client | US, UK, EU or other non-resident customer |
| Invoice | Issued to the foreign customer |
| Used abroad | Product, platform or internal system used outside Turkey |
| Transfer | Income transferred to Turkey by annual return deadline |
| Records | Contract, invoice, project scope and bank trail align |
High-Risk Software Cases
- Foreign SaaS product has Turkish users.
- Work supports a Turkish subsidiary.
- Invoice description is too vague.
- Platform payout does not identify the customer.
- Mixed Turkish and foreign work is not separated.
Lead Review
Send contract, invoice draft, project description, user geography, client country, annual income and payment route.
Email: info@ozmconsultancy.com
Subject line: Software export deduction Turkey review
FAQ
Is software export income zero-tax in Turkey?
It can produce a zero taxable base for qualifying profit if all conditions are met, but it is a deduction, not a blanket exemption.
Does the VAT exemption automatically apply?
No. VAT service export exemption has its own conditions and should be reviewed separately.
Can a Turkish limited company use the rule?
Yes, qualifying companies should review the parallel corporate rule under Corporate Tax Law article 10/1-g.
Review Checklist
For a faster review, send these facts in one note: work model, client/employer country, service type, annual income, expected days in Turkey, invoicing model, payment channel and existing company status.
Start here: https://evrenozmen.com.tr/remote-worker-tax-intake-turkey
Sources
- 100% service export deduction: https://evrenozmen.com.tr/turkey-100-percent-service-export-tax-deduction
- Service used abroad test: https://evrenozmen.com.tr/service-used-abroad-test-turkey
- Turkish Revenue Administration, Presidential Decision No. 11257: https://www.gib.gov.tr/duyuru-arsivi/guncel/17846_11257_sayili_cumhurbaskani_karari_resmi_gazetede_yayimlandi