Establishment of a Liaison Office

Companies established in accordance with laws of foreign countries can open liaison offices in Turkey provided that those offices do not carry out any commercial activities in Turkey.

So as to open a liasion office in Turkey, the relevant company has to apply to the
Directorate General of Foreign Investments of the Undersecretariat of Treasury through

Address: Hazine Müstesarligi
Yabanci Sermaye Genel Müdürlügü
20. Kat Emek Ankara 06510 Turkey

Applications for establishment and extension are to be finalized within 5 days following the application provided that the necessary idocuments are complete and proper.

Applications of foreign companies to establish liaison offices so as to operate in sectors subject to special legislation such as money and capital markets, insurance, etc. are assessed by the relevant regulatory and supervisory authorities.

Application Documents

The following documents have to be submitted to the Directorate General for establishing a liaison office in Turkey:

a) The original copy of “Certificate of Activity” approved by the related Turkish Consulate or approved in accordance with the provisions of the Convention on the Abolishing the Requirement of Legalization for Foreign Official Documents Approval Obligation, prepared on the basis of the Hague Conference on International Private Law,

b) Operational report or balance sheet and income statement of the main company,

c) The original copy of power of authority issued to the name of the person who is appointed to carry out the operations of the liaison office,

d) The original copy of power of attorney in case that another person will carry out the establishment transactions of the liaison office.

Starting operations

After an establishment permit is granted by the Directorate General of Foreign Investments, the relevant Liaison office is supposed to register to the local tax office and to send a copy of the tax office registration document to the Directorate General latest within 1 month.

Peridically informing the undersecreariat of Treasury

Liaison offices are supposed to provide the Directorate General with the followings every year latest until end of May so as to inform the authority about their activities of previous years:

Data Form for Liaison Office Activities

Documents certifying that the previous year’s expenses of the office have been covered by foreign currency transferred from abroad have to be enclosed as well.

Duration of operation permits and the extensions

Liaison offices are granted operation permits for 3 years at most.

For extensions, successive extensions of maximum 3 years each may be granted by taking into
consideration the activities of previous years and plans and objectives for the future.

Termination of Activities

In case a liaison office terminates its activities, the “termination and examination of business note” to be received from the related tax office has to be submitted to the Directorate General of Foreign Investments.

Liaison offices cannot claim any money transfer except the residue arising due to termination
or liquidation.

The Undersecretariat might cancel the permits of liaison offices in case the offices are found to have violated the legislation.

For further details, please contact the Directorate General of Foreign Investments through investmentadvisoryservice@hazine.gov.tr