Set up a Subsidiary | News

3) Set up a Subsidiary

A subsidiary company is treated as a locally incorporated legal entity that’s separate from its parent company. As such, its liabilities do not extend to the parent company. Joint Stock or Limited Liability Company types are preferred by international investors. A subsidiary company is treated as a resident company and therefore company’s income for the year will be subject to corporate tax, a flat rate of 20% in Turkey.

Types of incorporated companies are as below:

  • 3.1 Joint-stock company (A.Ş.)
  • 3.2 Limited liability company
  • 3.3 Commandite company
  • 3.4 Collective company
  • 3.5 Cooperative company