The 100% Foreign Service Export Tax Deduction
Türkiye offers a targeted tax incentive giving a 100% tax deduction on foreign-sourced remote services income for remote professionals, digital nomads, software engineers, and founders living in the country.
The deduction is built for exactly the profile most digital nomads fit: someone who is tax resident in Türkiye but earns their income from clients or employers based entirely outside the country.
Deduction rate
Up to 100% of qualifying foreign-sourced income
Tax residency trigger
183+ days in Türkiye in a calendar year
Transfer requirement
Earnings remitted into a local Turkish bank account
Key Elements of the 100% Tax Deduction
Eligible Services & Foreign Clients
The incentive applies to income earned from remote services — such as software development, engineering, design, and other digital or professional exports — rendered exclusively to clients or entities registered outside of Türkiye.
Banking & Transfer Protocol
To claim the foreign service export deduction and satisfy tax compliance, earnings must be remitted directly into local Turkish bank accounts.
Interaction With Tax Residency
Under Income Tax Law No. 193, staying in Türkiye for more than 183 days in a calendar year establishes local tax residency, which typically subjects residents to worldwide income reporting. This specific deduction, however, lets remote earners and digital nomads deduct 100% of their qualifying foreign-sourced service income, effectively minimizing or eliminating local tax liability on those remote earnings.
Frequently Asked Questions
Not Sure If Your Income Qualifies for the 100% Deduction?
Our team can review your income structure, banking setup, and residency timeline to confirm eligibility and help you claim the deduction correctly.
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