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FIND YOUR WAY IN
TURKEY AND IN ANTALYA HASSLE FREE
I.REAL
ESTATE ACQUISITION OF FOREIGNERS IN TURKEY
It is stated in the article 12 of the Constitution of the Republic
of Turkey that every person has individual, inviolable,
untransferable, unrenouncable fundamental rights and freedoms, and
it is expressed in the article 16 that fundamental rights and
freedoms can be restricted for foreigners by law in accordance with
international law. It is also accepted in the article 1 of the
Protocol numbered 1 of the European Human Rights Convention that
property rights of foreign persons can be restricted in conformity
with general principles of international law.
I.A.REAL ESTATE ACQUISITION OF FOREIGN REAL PERSONS IN TURKEY
Real estate acquisition of foreign real and legal persons has been
regulated in the article 35 of the Land Registry Law numbered 2644
that was modified by the article 19 of the Law numbered 4916 and
dated July 3, 2003. By this amendment new regulations have been
introduced concerning real estate acquisition, in our country, of
real persons of foreign nationality and trade companies having legal
personality and established in foreign countries according to the
laws of these countries, and article 36 of the Land Registry Law was
abrogated and its content was added to the article 35. Besides, the
article 87 of the Village Law numbered 442 was completely abrogated.
New form of the article 35 of the Land registry Law is as follows:
"With the reservation of being reciprocal and complying with legal
restrictions, real persons of foreign nationality and trade
companies having legal personality established in foreign countries
according to the laws of these countries, can acquire real estate
within the boundaries of the Republic of Turkey. In implementation
of reciprocity principle, it is essential that real estate
acquisition rights given by a foreign country to its own citizens
and to trade companies established in foreign countries according to
the laws of these countries, are also given to the citizens and
trade companies of the Republic of Turkey.
Real estate acquired through legal inheritance by citizens of a
country that does not have reciprocity with Turkey and real estate
located in the areas subjected to legal restrictions, are liquidated
after being transferred by inheritance and converted to its value.
Real estate acquisition of real persons of foreign nationality and
trade companies having legal personality and established in foreign
countries according to the laws of these countries, more than thirty
hectares, depends on permission of the Council of Ministers. This
provision is not implemented for real estate transferred by the way
of legal inheritance. Real estate acquisition of real persons of
foreign nationality more than thirty hectares through transactions
depending on death apart from legal inheritance is also subjected to
permission of the Council of Ministers. If permission is denied, the
exceeding part is converted to value by means of liquidation.
In case of registration of limited real right on real estate in
favor of real persons of foreign nationality and trade companies
having legal personality and established in foreign countries
according to the laws of these countries, reciprocity principle is
not stipulated.
With regard to public interest and state security, the Council of
Ministers is authorized to determine where this article will not be
implemented."
I.A.1.RECIPROCITY PRINCIPLE
The Council of Ministers expressed what should be understood from
the reciprocity principle in its decision dated May 29, 1940 and
numbered 2/13394. According to this decision, in addition to
legislative regulation of reciprocity principle, practical
applicability of it is also required for its existence. By this
decision, in which it's taken into consideration that reciprocity in
law will not indicate actual situation, restrictions encountered in
a foreign country by the citizens of the Republic of Turkey, in case
of their application, are wanted to be taken as a basis in
implementation of reciprocity. Therefore, for the existence of
reciprocity between our country and a foreign country about real
estate acquisition, reciprocity must be both in law and in practice.
According to this principle, for real estate acquisition of a
foreign country's citizen or trade company in our country, the
citizens and trade companies of the Republic of Turkey should also
have the right to acquire real estate in this foreign country and
this right must be accepted by laws and must be practically
applicable.
In the new regulation, instead of exact equivalent implementation of
reciprocity principle, it's stipulated that the rights given by a
foreign country to its own citizens or trade companies having legal
personality and established according to its own laws, should also
be given to citizens and trade companies of the Republic of Turkey.
Today, in terms of real persons, countries that have (annex-1) and
do not have (annex-2) full reciprocity, countries that have
reciprocity only for building acquisition (annex-3) between our
country, and the countries, the citizens of which can acquire real
estate with permission of Ministry of Interior and Ministry of
Foreign Affairs(annex-4), are listed at the end of this text. The
demands of citizens of countries that are not involved in the first
two lists will be concluded by consulting the General Directorate.
I.A.2.EXCEPTIONS OF RECIPROCITY PRINCIPLE
Although the first condition is reciprocity for real estate
acquisition of foreign real persons in our country, reciprocity
principle has some exceptions in terms of real persons. These
exceptions are as follows:
a. Since haymatlos persons have no state citizenship, there isn't
any state to decide about reciprocity. For this reason, haymatlos
persons are exempted from reciprocity principle.
b. According to the article 7/2 of "Convention on Legal Situation of
Refugees" dated July 28, 1951 and ratified by Turkey with the law
dated August 26, 1961 and numbered 359, the refugees are exempted
from reciprocity principle in a country after three years of
residence. The refugees in Turkey are also subjected to the same
provision. It is enough for refugees to prove this situation with an
official document for exemption.
c. According to the article 8/E of the Law for Encouragement of
Tourism numbered 2634, foreign real and legal persons who want to
make investment for tourism objective in Turkey, can acquire real
estate by the decision of the Council of Ministers in tourism areas
and centers being exempted from reciprocity principle and
restrictions formulated for foreigners.
I.A.3.LEGAL RESTRICTIVE PROVISIONS
The second condition for real estate acquisition of foreign real
persons in our country is to comply with restrictive provisions
involved in law. Some restrictions are involved in our laws
concerning real estate acquisition of foreigners. These restrictive
provisions are as follows:
a. According to regulations involved in the Military Forbidden Zones
and Security Zones Law numbered 2565 which restricts geographically
real estate acquisition of foreigners in our country, it is not
possible to sell, transfer and rent real estate located within
military forbidden zones and security zones, to foreign real and
legal persons.
b. According to the article 35 of the Land Registry Law numbered
2644, foreign real persons can not acquire real estate more than
thirty hectares in our country, however for acquisition of more than
thirty hectares, decision of the Council of Ministers is required.
Legal inheritance is exception of this rule.
c. Since the article 87 of the Village Law numbered 442, was
repealed by the new regulation it is possible for foreign real
persons to acquire real estate in villages.
I.B.REAL ESTATE ACQUISITION OF FOREIGN LEGAL PERSONS IN TURKEY
By the amendment in the article 35 of the Land Registry Law, the
right to acquire real estate in Turkey was given to all foreign
trade companies on condition of being reciprocal and complying with
legal restrictive provisions.
Conditions of being reciprocal and complying with legal restrictions
are also valid for foreign trade companies, as it is for foreign
real persons. Whether there is reciprocity between our country and a
foreign country in terms of trade companies, is determined by
consulting the Ministry of Foreign Affairs.
Provisions that are valid for foreign real persons in terms of legal
restrictions are also valid for foreign trade companies. Furthermore
the rule which involves that reciprocity will not be stipulated when
a limited real right is registered in favor of foreign real persons,
is also formulated for foreign trade companies.
I.C.REAL ESTATE ACQUISITION OF FOREIGN CAPITAL COMPANIES
The expression of "foreign capital companies" is usually confused
with the expression of "foreign company".
First of all, it should be stated that "foreign capital companies"
are established according to the provisions of the Turkish Trade Law
in Turkey and enrolled in Turkish Trade Register. In other words,
these countries are subjected to the legal provisions of the
Republic of Turkey. Only, the whole or part of their capital belongs
to foreign real and legal persons. Availability of foreign
shareholders within the company will not include it within the
status of foreign legal personality; because nationality of the
company and nationality of its shareholders are different matters.
The Law for Encouragement of Foreign Capital numbered 6224 and dated
January 18, 1954 was repealed by Foreign Direct Investment Law
numbered 4875 and dated June 5, 2003 that entered into effect being
published in the Official Gazette numbered 25141 and dated June 17,
2003, new provisions were adopted to encourage and increase foreign
direct investments, to protect rights of foreign investors, and to
transform permission and ratification system to informative systems
in realization of foreign investments.
With regard to the subject, a circular numbered 1363-100/841 and
dated August 7, 2003 was announced to all our units through our
regional directorates and it was stated that implementation would be
carried out within the framework of the following statements.
By the Foreign Direct Investment Law numbered 4875, foreign
investors are subjected to equal treatment with domestic investors;
permissions and ratifications like investment permissions, company
establishment permissions, were removed. Moreover, companies having
legal personality that foreign investors participate in or
establish, in our country, are allowed to acquire real estate or
limited real rights in areas where acquisition of these rights is
allowed for Turkish Citizens.
Companies established according to the repealed Law numbered 6224 or
that will act according to the Law numbered 4875 which is about the
activities of foreign capital companies in our country, are
considered as companies of the Republic of Turkey, according to
criteria of establishment place or administration center. For this
reason, real estate acquisition and other demands concerning land
register of foreign capital companies that either obtained activity
permission according to the repealed Law for Encouragement of
Foreign Capital or will act according to the Foreign Direct
Investment Law numbered 4875, are concluded by relevant Land
Registry Offices implementing the same methods and rules as for
companies established according to the Turkish Trade Law, after
examining authorization documents given by the Trade Register
Authorities that indicate the competent person and competence for
real estate acquisition of the company.
II.TRANSFER
It is free to transfer through banks and private financial
institutions, revenue and value of sale earned from real estate and
real rights acquired by foreigners with or without exchange of
foreign currency.
III.AUTHORITY OF APPLICATIONS
By the article 26 of the Land Registry Law numbered 2644, the duty
and authorization to regulate contracts concerning property and real
rights excluding property were given to Land Registry Offices.
Foreigners who want to acquire real estate or benefit from real
rights apart from property will make their applications to the Land
Registry Office where the real estate is located.
Detailed information about the subject can be provided from the
General Directorate of Land Registry and Cadastre.
IV. REQUIRED DOCUMENTS FOR APPLICATION
There is no difference between Turkish citizens and foreigners in
terms of required documents for application. IV.A. In terms of Real
Persons,
a. Title deed of the real estate if available, otherwise a document
indicating the city block and parcel of the real estate or verbal
statement of the owner.
b. Identity card or passport of foreigner given by his/her own
country and two small photographs.
c. If the person applying for demand is representative, a power of
attorney of the representative, and identity card with photograph,
two small photographs of the representative, and if some of the
purchasers are not present during the transaction, identity card
with photograph, two small photographs and power of attorney of the
representatives that represent the purchasers, are required.
IV.B. In terms of Legal Persons
a. Companies established according to the Foreign Direct Investment
Law numbered 4875 will show competence document given by Turkish
Trade Registry, a document given to the person assigned basing on
this, and signatures certificate.
b. Foreign trading companies established in foreign countries
according to their laws are required, in compliance with the
legislation of their country, to show a document having the effect
of competence document given by relevant authorities.
With regard to charges and taxes required to be paid in the course
of transactions, there is no difference between persons of foreign
nationality and citizens of the Republic of Turkey. However, when
asking the competent military post to determine whether the real
estate demanded by real or legal person of foreign nationality is
located out of Military Forbidden Zones and Security Zones or not,
if any control in the field is needed to mark on map of 1/25000
scale where the real estate is, a kind of service value will be paid
according to transaction named “showing the parcel in its place.”
CIRCULARS ABOUT REAL ESTATE ACQUISITION OF FOREIGNERS
Dates: August 13, 2003-October10, 2003
Numbers: 2003/10, 2003/12-1569
By article 35 of the Land Registry Law numbered 2644 and dated
December 22, 1934 that was amended by article 19 of the Law numbered
4916 and dated July 3, 2003 that entered into effect being published
in the Official Gazette numbered 25173 and dated July 19, 2003, new
provisions have been brought about real estate and limited real
right acquisition of foreign real persons and trading companies
having legal personality and established in foreign countries
according to the laws of these countries and by article 38 of the
mentioned Law, article 87 of the Village Law numbered 442 and dated
March 18, 1924 and article 36 of the Land Registry Law numbered 2644
and dated December 22, 1934 was repealed.
By the new regulation, the right to acquire real estate within the
boundaries of Turkey has been given to foreign real persons and
trading companies having legal personality and established in
foreign countries according to the laws of these countries on
conditions of being reciprocal and complying with legal
restrictions, and by the removal of article 87 of the Village Law
numbered 442 that was among legal restrictions, in villages real
estate acquisition of foreign real persons and trading companies
having legal personality has become possible. Moreover, article 36
was repealed and its content was added to article 35, but no
amendment was made in the Military Forbidden Zones and Security
Zones Law.
Furthermore, implementation of reciprocity principle was reevaluated
and though it must be practical in implementation, instead of exact
equivalence it was taken as a basis that the rights given by a
foreign country for real estate acquisition of its own citizens or
trading companies having legal personality and established in
foreign countries according to the laws of these countries should
also be given to citizens and trading companies of the Republic of
Turkey.
According to article 35 of the Land Registry Law;
-real estate owned through legal inheritance by citizens of
countries that do not have reciprocity with our country, and real
estate in areas that are subjected to legal restrictions are
converted to value by means of liquidation after their transfer
transactions are made,
-real estate acquisition is limited by thirty hectares for foreign
real persons, with the exception of legal inheritance, and trading
companies established according to the laws of foreign countries.
Real estate acquisition more than thirty hectares depends on
permission of the Council of Ministers. Real estate acquisition by
means of transactions depending on death apart from legal
inheritance is also limited by thirty hectares and permission of the
Council of Ministers is required to acquire more than thirty
hectares. If permission is not given the exceeding part is converted
to value by means of liquidation,
-in case of limited real right registration, in our country, in
favor of foreign real persons and trading companies established
according to the laws of foreign countries, reciprocity will not be
stipulated,
-and the Council of Ministers is the authority to determine where
this article will not be implemented with regard to public interest
and state security.
In compliance with these provisions ;
1- A list of countries that have full reciprocity with our country
about real estate acquisition has been annexed(annex-1). The demands
of foreign real persons who are citizens of countries indicated in
this list will directly be concluded by the Land Registry Offices,
after asking the competent military posts whether the demanded real
estate is out of military forbidden zones and security zones and
receiving a response that it is out of military forbidden zones and
security zones.
The demands for real estate acquisition of citizens of
countries(Annex-2) that do not have reciprocity with our country
will directly be refused by Land Registry Offices without making any
correspondence.
The demands for real estate acquisition of citizens of countries
that haven't been included in the annexed lists, will be sent to the
General Directorate together with required documents and will be
concluded in accordance with the given instruction.
Since real estate acquisition of foreign trading companies having
legal personality and established in foreign countries according to
the laws of these countries depends on conditions
of being reciprocal and complying with legal restrictions, the
demands of these countries for real estate acquisition will be sent
to the General Directorate and concluded in accordance with the
given instruction.
2- In case of real estate acquisition by means of legal inheritance
by citizens of countries that do not have reciprocity with the
Republic of Turkey in terms of real estate acquisition, the transfer
transactions of the real estate will be done and the related persons
will be notified that the real estate in question is subjected to
liquidation, and for its liquidation the relevant institutions will
be announced, and this will be stated in the ‘explanations section'
of page allocated for the real estate.
If the real estate is located within the military forbidden zones
and security zones, relevant military posts will be announced for
its liquidation by means of expropriation.
3- Since real estate acquisition of foreign real persons and trading
companies having legal personality and established in foreign
countries according to the laws of these countries has been limited
by thirty hectares and permission of the Council of Ministers is
required for acquisitions exceeding 30 hectares, such demands will
be sent to the General Directorate to be evaluated.
Furthermore, although the limitation about not acquiring more than
thirty hectares in the whole country will be controlled through the
transactions that will be sent to the General Directorate, during
the transactions carried out by Land Registry Offices it is required
that foreign real persons and trade companies having legal
personality and established according to the laws of foreign
countries that demand real estate acquisition to state, in
contractual transactions on title deed and in other transactions
excluding legal inheritance on document for registration demand,
that “Including this one , the total real estate acquired by me or
by the company that I represent, within the boundaries of the
Republic of Turkey does not exceed thirty hectares. Otherwise I
state that I accept the exceeding part to be liquidated and
converted to value without any reservation or condition.”
4- Real estate transactions of foreign capital companies,
established in our country according to the Foreign Direct
Investment Law numbered 4875 or the repealed Law for Encouragement
of Foreign Capital numbered 6224, like buying or selling will
directly be concluded by Land Registry Offices.
5- In case of registration of limited real rights, included in the
Turkish Civil Law numbered 4721, in favor of trading companies
established in foreign countries according to the laws of these
countries the transactions will be concluded without stipulating
reciprocity.
CIRCULAR ABOUT FOREIGN DIRECT INVESTMENT
Date: August 7, 2003
Number:2003/9-1566
The Law for Encouragement of Foreign Capital numbered 6224 was
repealed by the Foreign Direct Investment Law numbered 4875 and
dated June 5, 2003 that entered into effect being published in the
Official Gazette numbered 25141 and dated June 17, 2003.
By the Foreign Direct Investment Law numbered 4875, foreign
investors have been subjected to equal treatment with domestic
investors, ratifications and permissions like investment permission,
company establishment permission were removed and it has been
regulated that it is free for companies having legal personality
that foreign investors participate in or establish in Turkey, to
acquire real estate property or limited real rights in areas where
Turkish citizens can acquire real estate.
Companies established according to the Law numbered 4875 are not
foreign companies but Turkish companies having foreign capital that
are subjected to the rules of Turkish Commercial Law. Therefore, by
the new regulation, domestic and foreign capital companies subjected
to the rules of the Turkish Commercial Law are also subjected to the
same procedure for real estate acquisition as in other fields.
As a consequence of this regulation, in real estate acquisition of
Turkish companies having foreign capital as for other Turkish
companies, whether real estate acquisition is within the
comprehension of objectives and activities of the company or not,
will be decided by checking competence document received from
Turkish Trade Registry and the demand will be concluded in the local
Land Registry Office.
It must be stated in the competence document received form Turkish
Trade Registry that the company is established according to the Law
numbered 4875 if it is established according to this law.
ANNEX1:
COUNRIES WHICH HAVE FULL RECIPROCITY WITH TURKEY IN TERMS OF REAL
ESTATE ACQUISITION
1. ANDORRA
2. ARGENTINA
3. AUSTRALIA
4. AUSTRIA
5. BAHAMAS
6-BAHRAIN
7. BANGLADESH
8. BARBADOS
8. BELGIUM
9. BELIZE
10. BENIN
11. BOLIVIA
12. BOSNIA-HERZEGOVINA
13. BOSTWANA
14. BRAZIL
15. CAMEROON
16. CANADA
17. CAPE-VERDE
18. CENTRAL AFRICAN REPUBLIC
19. CHILE
20. COLOMBIA
21. COSTA RICA
22. COTE D'IVOIRE
23. CROATIA
24. DENMARK
25. ECUADOR
26. EL SALVADOR
27. ENGLAND
28. ESTONIA
29. FINLAND
30. FRANCE
31. GABON
32. GERMANY
33. GHANA
34. GUINEA
35. GRENADA
36. GUATEMALA
37. GUYANA
38. HAITI
39. HONDURAS
40. HUNGARY
41. IRELAND
42. ISRAEL
43. ITALY
44. JAMAICA
45. JAPAN
46. KOREA,SOUTH
47. LATVIA
48. LIECHTENSTEIN
49. LITHUANIA
50. LUXEMBOURG
51. MALAWI
52. MALAYSIA
53. MALI
54. MALTA
55. MAURITANIA
56. MAURITIUS
57. MEXICO
58. MONACO
59. MOZAMBIQUE
60. NETHERLANDS
61. NEW ZEALAND
62. NICARAGUA
63. NIGERIA
64. NORWAY
65. PANAMA
66. PARAGUAY
67. PERU
68. PHILIPPINES
69. POLAND
70. PORTUGAL
71. SAN MARINO
72. SENEGAL
73. SINGAPORE
74. SOMALIA
75. SOUTH AFRICAN REPUBLIC
76. SRI LANKA
77. SPAIN
78. SWAZILAND
79. SWEDEN
81. SWITZERLAND
82. TANZANIA
83. THE REPUBLIC OF DOMINIC
84. TURKISH REPUBLIC OF NORTHERN CYPRUS
85. UNITED STATES OF AMERICA
86. URUGUAY
87. VENEZUELA
88. YUGOSLAVIA(SERBIA-MONTENEGRO)
ANNEX - 2
COUNRIES WHICH DO NOT HAVE RECIPROCITY WITH TURKEY IN TERMS OF REAL
ESTATE ACQUISITION
1. AFGHANISTAN
2. ALGERIA
3. ARMENIA
4. BURMA
5. CAMBODIA
6. CUBA
7. CZECH REPUBLIC
8. ERITREA
9. ETHIOPIA
10. FIJI
11. ICELAND
12. INDIA
13. INDONESIA
14. IRAQ
15. KOREA,NORTH
16. KUWAIT
17. LAOS
18. LIBYA
19. MALDIVES
20. MONGOLIA
21. NEPAL
22. NIGER
23. OMAN
24. PAPUA NEW GUINEA
25. QATAR
26. SAUDI ARABIA
27. SUDAN
28. SURINAME
29. THAILAND
30. TUNISIA
31. UNITED ARAB EMIRATES
32. VIETNAM
33. YEMEN
ANNEX-3
COUNRIES WHICH HAVE RECIPROCITY WITH TURKEY IN TERMS OF ONLY
BUILDING ACQUISITION
1-AZERBAIJAN
2-BELARUS
3-CHAD
4-CHINA
5-EGYPT
6-GEORGIA
7-IRAN (With the conditions of five- year residence and permission
of relevant Ministeries)
8-JORDAN
9-KAZAKHISTAN
10-KENYA
11-KYRGIZISTAN
12-MACEDONIA
13-MOLDOVIA
14-MOROCCO
15-NAMIBIA
16-ROMANIA
17-RUSSIAN FEDERATION
18-SLOVAKIA
19-SLOVENIA
20-TAJIKISTAN
21-TURKMENISTAN
22-UGANDA
23-UKRAIN
24-UZBEKISTAN
ANNEX-4
COUNTRIES THE CITIZENS OF WHICH CAN ACQUIRE REAL ESTATE IN TURKEY
WITH PERMISSION OF MINISTRY OF INTERIOR AND MINISTRY OF FOREIGN
AFFAIRS.
1- DJIBOUTI
2- LEBANON
3- PAKISTAN
4- TOGO
5- TRINIDAD AND TOBAGO
Investing in
Turkey
At the beginning of the last decade, the Government of Turkey, in
awareness of world trends, initiated the process of the integration
of the Turkish economy into the world market system by radical
economic reforms which include, among others, the promotion of
direct foreign capital investments.
After a decade of persistent economic reforms, which have started to
bear fruit, Turkey feels better positioned in the changing world. As
the utility of its strategic location between hostile blocks is
reduced by the ending of the cold war, Turkey has yet more to offer
as an economically and politically sound base at the heart of the
world's most rapidly expanding markets. Foreign investors have
already made sizeable investments in various sectors in Turkey such
as agribusiness, food, textiles, machinery, automotives, chemicals,
electronics, cement, tourism, banking and others.
Turkey offers many advantages to foreign investors: its large
domestic market of 57 million people desiring high quality products;
a qualified manual and technical labor force with low labor costs
and high productivity; developed utility and transportation
facilities along with a geographic and economic location close to
nearby major markets of the world are only some of the many
advantages.
There are many possibilities for doing business in Turkey, for
example, a foreign investor can;
establish totally new business ventures, taking advantage of the
attractive domestic market /or nearby export market possibilities
close to Turkey.
establish joint-ventures with Turkish businesses,
enter into major Government contracts through tenders or through the
use of such models as B.O.T. (Build Operate and Transfer) etc.
establish licensing and franchising agreements,
enter the market through distributors or agents,
In Turkey developments in foreign capital investment occurred in the
early fifties. During this period, with the formation of rapid
development strategies and international economic cooperation, the
Foreign Investment Law No:6224 was enacted. Due to the structure of
the economy at that time, foreign investment entries were limited.
Since the 1980s, the Turkish government has followed liberalised,
out-ward-oriented economic polices. There were rapid changes in the
economic and social structure of Turkey. Deregulation of interest
rates, the establishment of organised markets for money, foreign
exchange, stocks and securities, the liberalisation of capital
movements, and reforms in the banking sector, were just some of the
changes.
Following these measures, protectionist economic policies were
abandoned and a comprehensive economic stabilisation and
liberalisation programme was implemented. The three major objectives
of this new programme were:
minimising state intervention,
establishment of a free market economy;
integration of the Turkish economy with the world economic system.
One of the major policy decisions was the adoption of a liberal and
flexible foreign investment policy. As a result of the changes in
the Foreign Investment Law, the investment climate was made more
efficient and suitable for potential investors. The Turkish lira
became almost fully convertible and the implementation of Foreign
Investment Law No. 6224 guaranteed the transfer of capital gains,
fees, royalties and dividends (and in the case of liquidation), the
transfer of paid up capital, freely. In addition, Turkey provides a
well-secured environment for foreign capital by being a party to
several bilateral and multilateral agreements. In this context,
investment protection and double taxation agreements have been
signed between Turkey and 16 and 20 countries, respectively.
Since the mid-1980s, international investors have been playing and
increasingly prominent part in the Turkish economy. As a result
Turkey has become a more attractive country for foreign investors.
The infrastructure for industrial operations has considerably
improved, especially in the western part of the country. Presently,
eight Free Trade Zones are operational and another five are under
construction. There are also about 20 Organised Industrial Zones
throughout the country which offer attractive conditions for
establishing industrial operations. Turkey is conveniently connected
to Europe by excellent air, sea and land links.
Foreign Direct Investment
Foreign direct investments are subject to Foreign Investment Law
No.6224, the related Government Decree No: 95/6990 and the related
communique which were recently enacted as a result of studies in
order to simplify and/or abandon several bureaucratic formalities
relating to foreign capital entries during the time of Turkey's
proposed Customs Union with Europe.
The most significant provisions foreign investors are subject to
are:
Approval obligation
Foreign participation is permitted up to 100%
Forms of business entities can be limited liability or corporation
Employment of expatriate staff is permitted
Equal treatment is the basis for foreign and domestic investors.
Approval Procedure
The authorised approval agency for foreign investments, including
capital increases, is the Undersecretariat for Treasury (UT),
General Directorate of Foreign Investment, (GDFI) located in Ankara.
The application for approval has to be in Turkish or English and
should be presented with the following documents:
Certificate of activity/copy of registration (applicable to legal
entities)
Annual report including balance sheets of the previous year
(applicable to legal entities)
Copy of passport (applicable to individuals)
The certificate of activity and passport photocopy have to be
certified by a Turkish Consulate General abroad, or by a Turkish
notary.
Letter of Intent (including total volume for participation) by the
foreign investor.
* Draft Articles of Association of the company to be established,
* Proforma invoices, brochures and catalogues and global list of
machinery to be imported, including prices showing
FOB in currency of the country of origin or FOB in US dollars or CIF
in Turkish Lira, plus customs duties and charges.
Application for incentives:
Two copies of the receipt showing deposit of funds with the Central
Bank of Turkey. This is refunded if the project is not approved. A
deposit of 25 million TL for investments in the industrial zones and
priority development regions shall be paid, rising to 50 million TL
for investments in other regions.
Duration of approval procedures; approximately 3 to 4 weeks.
Applicant
The investing foreign company can apply through the following:
* Company's representative if registered under Turkish law
* Independent chartered accountants, auditors or consultants
* Direct by mail.
Establishing a Company
Upon obtaining approval, the establishing company can register at
the Turkish Ministry of Industry and Trade.
For a public stock company, at least five founding members are
necessary. The minimum paid-up capital has to be 25% of the total
signed investment, but at least $50,000 per foreign investor. A
private limited company requires at least two partners. Each foreign
investor also has to pay a minimum of $50,000. This money has to be
transferred to Turkey in hard currency and can be blocked in foreign
Exchange Deposits Accounts.
Documents to be presented at the Ministry of Industry and Trade are:
Articles of Association certified by a notary
Certificate of deposit of the foreign currency
Investment approval of UT
Memorandum of Understanding, where the applicant is a legal entity
After confirmation of the establishment of the company by the
Ministry of Industry and Trade, further procedures are as follows:
Registration with the city authority. This requires the presentation
of:
* Rent contract for office premises
* Articles of Association as approved by the Ministry of Industry
and Trade
* Certified sample of signature.
Registration in the trade register
Registration with the Chamber of Commerce or Chamber of Industry
Unblocking of the paid-up capital upon submission of documentation
for registration in the trade register
Confirming completion of the establishment of the company with UT.
Registration with the local tax and social insurance authority.
Portfolio Investment and Participation
Application to UT with presentation of the following documents:
* Certificate of activity/entry in the trade register
* Previous year's annual report (including balance sheet)
* Certified copy of passport (for individuals)
(N.B. Companies or individuals residing in Turkey do not need to
submit these documents)
Letter of Intent by the foreign investor (including total volume of
participation)
Information regarding the existing company in which investment is
intended, must include:
*Balance sheets and profit/loss accounts for the past five years
approved by the related Tax office (in cases where applications are
made during the second half of the year; balance sheet and
profit/loss accounts of the first half have to be submitted as well)
* The Trade Registry Gazette of Turkey, showing the final version of
the company's Articles of Association.
* Written commitment to severance pay obligations.
UT will appoint auditors to audit the assets of the investing
company.
Establishing a Liaison Office
The provisions for establishing a liaison office in Turkey are as
follows:
Obligation of approval through UT
Commercial activities creating any income within Turkey are not
permitted
All expenditures of the liaison office has to be covered in foreign
currency to be transferred from abroad
Annual report should be submitted to UT
Income tax exemption on incomes of employees of a liaison office
The application for registration of a liaison office must be made at
UT. The following documents are required:
Letter of Commitment stating that all expenditures will be
transferred from abroad.
Certificate of activity (see above)
Previous year's annual report and balance sheet
Detailed information on activities planned by the liaison office in
Turkey, number of employees, and estimated annual expenditure
Power of attorney for the person in charge of the liaison office.
Know-How Transfer, Licensing Agreements etc.
Applications for the approval of know-how transfer, licensing,
technical assistance, and management agreements have to be filed
with UT together with the investment application and the following
documents:
Three copies of the original agreement signed by the parties and the
Turkish version certified by notary public.
Confirmation of the existence of the plants in Turkey where the
respective products or services stated in agreement are to be
produced.
Last year's annual report including information on research and
development activities of the license holder regarding the products
in question.
Registration of the patent or brand name in the name of the license
holder, if applicable.
Import Duties
UT annually publishes a list of capital goods that can be imported
free of import duties. On special request, products that are not
mentioned in this list can be imported duty-free.
Second-hand equipment can only be imported under the Import Regime
if it is not more than five years old. Exemptions can be made for
complete production plants.
If equipment and machinery is to be a part of the capital
contribution of the foreign investor, UT will conduct an inspection,
to determine the value.
Investment Incentives
The Government of Turkey annually issues a list of investment
incentives. In order to take advantage of such incentives, a special
"Incentive Certificate" has to be obtained together with the
investment approval from UT. According to the current incentive
regime, a minimum investment of 6 billion TL is necessary for
priority regions and 12 billion TL for other regions. Incentives for
1996 are as follows:
Tax Allowances (30-100% according to location)
Refund of VAT+10% for locally purchased machinery
Customs exemption on imported machinery
Customs expenditure on raw materials (in accordance with the
specifications mentioned in the regime).
VAT Deferral on Imported Machinery and Equipment.
Allocation of land
Discounts on electricity charges
Soft loans up to 50% of the total investment for:
* Research and development investments
*Ro-Ro
* Aircargo, highways and railways combined transportation
* Marketing and promotion expenses for travel agencies
* Regional handicrafts
* Environmental investments
* Small and medium size enterprises
Special credits
In addition to the incentives mentioned above, investors can benefit
from additional tax deferrals which are determined by the Ministry
of France, annually. For 1996, corporations can defer up to 20% of
their annual corporate tax amounts provided that this sum does not
exceed the R&D expenditure of the corporation during the same year.
These incentives may change from year to year. For further
information the General Directorate of Foreign Investments
Undersecre tariat of Treasury should be contacted.
LAW ON WORK PERMITS OF FOREIGNERS
Law No: 4817
Date of Endorsement: 27 February 2003
PART ONE
Objective, Scope and Definitions
Objective
Article 1. The objective of this Law is to obligate permits for the
employment of foreigners in Turkey and to govern the principles of
work permits to be issued for these foreigners.
Scope
Article 2. - This Law involves;
Foreigners working independently or as employed;
Foreigners under vocational training in connection with an employer;
And real persons and legal entities employing foreigners in Turkey,
That lay within the coverage of Article 29, Paragraph 2 of Law No:
403 on Turkish Citizenship, Article 13 of Press Law No: 5680, and
Decree Law No: 231 governing the Organization and Duties of the
General Directorate of Publications Broadcasts and Information, who
have been granted work permits or employed by ministries, public
authorities and organizations in accordance with the authority
stipulated by law,
With the exemption of foreigners held exempt from work permits under
reciprocity principles, international law and European Union law.
Definitions
Article 3. The flowing terms used in this law carry the associated
meanings attributed to them:
Ministry: Ministry of Labor and Social Security,
Foreigner: Persons not considered to be a Turkish citizen according
to Turkish Citizenship Law,
Employed worker: Foreigner, who is working under the direction of a
single or several employers that may be real persons or legal
entities, in return for wages, salaries, commission or similar
remuneration.
Independent worker: Foreigner, who is working on his own behalf and
account, notwithstanding the option that he/she employs other
persons or not.
PART TWO
Obligation to Acquire Permits and the Authority to Issue Permits
Obligation to acquire permits and the authority to issue permits
Article 4. Unless not stipulated to the contrary by bilateral and
multilateral agreements in which Turkey stands as a party,
foreigners are required to acquire a work permit before starting
work in Turkey independently or as employed.
In cases the national benefit requires so or due to reasons of force
majeure, a work permit may be issued after the subject foreigner
starts working, on condition that the related authority is notified,
that the duration of work does not exceed one month and there is
Ministerial.
PART THREE
Work Permits, Exemptions and Restrictions Regarding Work Permits
Work permits with specific duration
Article 5. Unless not stipulated to the contrary by bilateral and
multilateral agreements in which Turkey stands as a party, work
permits are issued for a period of maximum one-year, for a specific
business or operation and for a specific occupation, by taking into
account the conditions prevailing in the business world,
developments in the labor environment, variations in the sectoral
and economic conditions, in line with the residence permit of the
subject foreigner, the duration of the job contract and the duration
of the work concerned.
Subsequent to the expiry of the one-year work permit, the work
permit may be extended for three years for the same occupation, for
the same business or operation.
Subsequent to the expiry of the three-year work permit, the work
permit may be extended for six years for the same occupation, for
any employer the foreigner prefers to work for.
Work permits with a specific duration may be issued for the spouse
and children which are under the guardianship of the foreigner who
comes to Turkey for work, whether they accompany him/her or come
later on, provided that these family members have been residing
officially and uninterruptedly mutually with the subject foreigner
for a period of five years.
The Ministry is authorized to extend or restrict the geographical
locality of work permits with specific duration.
Work permits with indefinite duration
Article 6. Unless not stipulated to the contrary by bilateral and
multilateral agreements in which Turkey stands as a party,
foreigners who reside in Turkey for a period of eight years
officially and uninterruptedly, and foreigners who officially hold a
cumulative job experience of six years in Turkey may be issued work
permits with indefinite duration, not restricted for an operation,
an occupation or an administrative or geographical locality.
Likewise, the conditions prevailing in the business world, or the
developments in the labor environment are not to be taken into
account while issuing such work permits.
Independent work permits
Article 7. The Ministry may issue independent work permits to
foreigners who will work independently, on condition that such
foreigners have resided in Turkey officially and uninterruptedly for
a period of five years.
Exceptional cases
Article 8.
a) Foreigners, who are married to Turkish citizens and who are
living with their spouses under conjugal community or foreigners
whose who have settled in Turkey although their conjugal community
have terminated after a period of at least three years and their
mutual children generating from their union with their Turkish
spouse,
b) Those who have lost their Turkish citizenship as a consequence of
the provisions of Articles 19, 27 and 28 of Turkish Citizenship Law
No: 403, and their offspring,
c) Foreigners who were born in Turkey and foreigners who have come
to Turkey before having reached age of majority, stipulated by their
national laws or by Turkish Law in case they are stateless, and who
have graduated from a vocational school, academy or university in
Turkey,
d. Foreigners who are regarded as immigrants, refugees or nomads by
Settlement Law No: 510,
e. European Union citizens and spouses and children of these persons
who are not citizens of the European Union,
f. Employees working at the service of the diplomats, administrative
and technical personnel assigned at embassies and consulates of
foreign states and representations of international establishments
in Turkey, and spouses and children of diplomats, administrative and
technical personnel assigned at embassies and consulates of foreign
states and representations of international establishments in
Turkey, within the framework of reciprocity principle (the
restriction is valid for the second group only),
g. Foreigners who come to Turkey for scientific and cultural
activities that will continue for more than one month and sports
activities that will continue for more than four months,
h. Foreigners of key status who will be employed by ministries and
publis authorities and organizations authorized by law, for the
procurement of goods or services through contracts or by tenders,
execution of a job or operation of a facility,
May be granted work permits, notwitstanding the durations stipulated
by this Law, unless not stipulated to the contrary by bilateral and
multilateral agreements in which Turkey stands as a party.
Periods included in the official duration of work and periods
considered as a discontinuation of residence
Article 9. Annual leaves and periods recompensated by insurance
authorities for occupational accidents, occupational diseases,
sickness and and maternity, temporary disability and joblessness are
regarde as official working periods.
In case the total time spent by the foreigner away from Turkey does
not exceed six months, the duration of work is considered not
interrupted. Yet, the time spent outside Turkey is not considered as
working period. In case the foreigner fails in extending his/her
residence permit for a period of more than six months, although
he/she is within Turkey, his/her residence is considerd as
interrupted regarding work permit provisions.
Work permit exemption certificate
Article 10. A work permit exemption certificate may be provided by
the Ministry to foreigners who are held exempt from work permit
procedure, upon their application, with the rights and privileges
stipulated by bilateral and multilateral agreements in which Turkey
stands as a party are reserved.
Restrictions on work permits
Article 11. In cases necessitated by conditions prevailing in the
business world, developments in the labor environment, variations in
the sectoral and economic conditions concerning employment, work
permits may be restricted for a certain time for agriculture,
industry or service sectors, for specific occupations or
administrative or geographical locality, notwithstanding the rights
and privileges stipulated by bilateral and multilateral agreements
in which Turkey stands as a party, within framework of the
reciprocity principle.
PART FOUR
Issuing, Extending, Rejection and Cancellation of Permits and
Application for Judicial Solution
Issuing or extending permits
Article 12. Foreigners file their applications for work permits at
the representations of the Turkish Republic in the countries they
reside. The representations convey these applications directly to
the Ministry. The Ministry evaluates these applications in
accordance with Article 5, by consulting realted authorities, and
issues work permits to foreigners considered appropriate. This
permit is valid only if the necessary work visa and residence permit
are available. Foreigners having received work permit are required
to apply for entry visa within ninety days following the date they
receive the work permit and to apply to the Ministry of the Interior
for a residence permit within thirty days following their entry to
Turkey.
Foreigners holding a valid residence permit, as well as their
employers may file their applications directly to the Ministry.
Work permits are issued by the Ministry upon the written application
of foreigners holding residence permits or their employers in
accordance with this Law or the Directive to be issued accordingly.
Applications will be answered by the Ministry latest within ninty
days.
Consulting related authorities
Article 13. Work permits for foreigners for the occupations, crafts
and jobs they may be employed at, are issued by the Ministry, by
taking the considerations of related authorities with regard to the
terms stipulated by this Law, including occupational competence.
Provisions relating to the jobs and occupations not permitted for
foreigners by other Laws are reserved.
Rejection of the permit application
Article 14. The application for work permit or an extension thereof
will be rejected:
a) In case the conditions prevailing in the business world,
developments in the labor environment, variations in the sectoral
and economic conditions concerning employment are not suitable for
issuing work permit,
b) In case there are persons domestically, who have the same
qualifications to carry out the subject job within four weeks
period,
c) In case the foreigner does not hold a valid residence permit,
d) In case the foreigner applies for a specific business or
operation or a specific occupation within less than one year
following the rejection of his/her previous application for the same
business or operation or same occupation,
e) In case the works of the foreigner constitute a threat against
national security, social structure, public order, moral values and
public health.
Cancellation of work permits
Article 15. In case it is verified that the foreigner violates the
restrictive provisions listed in Articles 11 and 13 or there exists
any of the cases prescribed in Article 14 or in case it is
discovered later on that the foreigner or his/her employer has filed
inadequate or false information in the work permit application, the
Ministry cancels the work permit and notifies the related ministry.
Invalidation of work permit
Article 16. Work permits, besides expiry of duration, become
invalid;
a) In case the residence permit of the foreigner invalidates for any
reason or is not extended,
b) In case the duration of the passport or the substitute
certificate of the foreigner is not extended (except cases in which
the Ministry of the Interior or Foreign Ministry maintain
affirmative considerations)
c) In case the foreigner stays abroad continuously for more than six
months, with the exception of cases of force majeure.
Right to apply for judicial solution
Article 17. The Ministry notifies the foreigner or his/her employer
- if any – concerning its decision regarding the issuing, extension,
and invalidation of the work permit or rejection of application
thereof in accordance with the provisions of Notification Law No:
7201.
An objection may be filed against the decision of the Ministry,
within thirty days following the date of notice. In case the
objection is refused, the case may be filed at administrative
courts.
PART FIVE
Obligation to Notify, Authority for Inspections and Regulations and
Disciplinary Provisions
Obligation to notify
Article 18.
a) Foreigners working independently are required to notify the
Ministry latest within 15 days following the date they start working
and they leave working,
b) Employers employing a foreigner are required to notify the
Ministry latest within 15 days following the date the foreigner
starts working; in case the foreigner does not start working within
30 days following the date of the receival of the work permit, or in
case the job contract terminates for any reason, 15 days afterwards
the occurrence of such.
Information to be supplied to the Ministry
Article 19. Ministries, public authorities and organizations
authorized to issue work permits are required to submit any
information regarding the work permits they have issued, extended or
cancelled to the Ministry within 30 days following the date of the
related issuing, extension or cancellation. Alternatively,
ministries, public authorities and organizations employing
foreigners are required to submit any information concerning the
foreign employee to the Ministry within 30 days following the date
the subject foreigner starts working.
Inspection authority
Article 20. The inspectors of the Ministry and Social Security
Authority inspect whether foreigners and employers covered by this
Law fulfill their obligations arising from this Law.
Audit and inspection staff of organizations structured within the
general public budget and organizations subject to supplementary
budget also examine if the employers employing foreign personnel and
foreigners fulfil their respective obligations arising from this Law
during routine audits and inspections they carry out at business
sites, in line with the related legislation. Audit results will be
notified to the Ministry seperately.
Disciplinary provisions
Article 21. Independent foreigners who fail to fulfil the
notification requirement within the period prescribed in Article 18,
will be fined TRL 250 million and employers will be fined TRL 250
million for each foreigner concerned.
Foreigners working as employed workers without a work permit will be
fined TRL 500 million.
Employers or their proxies having employed foreigners who do not
hold a work permit will be fined TRL 2,500 million for each
foreigner concerned. In such a case, related employers or their
proxies will be required to cover the accomodation expenses, travel
expenses for the journey back to their country and health expenses
if required of the foreigner, and spouse and children if concerned.
The fines stipulated in paragraphs 1, 2 and 3 would be twofold in
cases the prescribed violations are repeated.
Foreigners working independently without a work permit will be fined
TRL 1 billion and if there is a business site or sites concerned,
Regional Directorates of the Ministry will resolve to close these
business sites and the realted provincial governates will be
assigned with the said task. In case the said violations are
repeated, the business facility will be closed and administrative
fines will be applied in twofold.
Fines stipulated by this Law will be notified to the related persons
by Regional Directorates of the Ministry, together with reasons
thereof, in accordance with Notification Law No: 7210.
Administrative fines have to be paid to the tax offices or
provincial finance directorates within 7 days after the date of
notice. Related authorities may file objection to the fine at the
authorized criminal court of peace. Filing an objection does not
stop the pursuit and collection of the fine.
Foreigners working independently or as employed and employers
employing foreigners who are fined according to this Law will be
reported to the Ministry of the Interior.
Law No: 6183 on the Pursuit and Collection of Public Receivables
will be effective for administrative fines and other receivables not
paid in due time.
Directive
Article 22. Procedures and principles of issuing, classification and
cancellation of all types of work permits, foreigners to be held
exempt from work permits and measures for notification obligations
will be governed by a directive to be issued in association with
this Law.
The Directive to be prepared for the execution purposes of this Law
will be issued within six months following the date of publication
of this Law, jointly by the Ministry, Ministry of the Interior,
Foreign Ministry, Ministry of Finance, Ministry of Development and
Housing, Ministry of Health, Ministry of Tourism, State Planning
Organization, Undersecretariat of Treasury, Undersecretariat of
Maritime and Undersecretariat of Foreign Trade by taking
considerations of other realted ministries, public authorities and
organizations and occupational organizations that are regarded as
public authorities.
Employment of foreign personnel in foreign investments
Article 23. Foreigners to be employed by companies and organizations
established within the scope of Law No: 6224 on the Encouragement of
Foreign Investments can be employed by means of work permits to be
issued by the Ministry in accordance with the procedures and
principles to be designated by the Directive to be prepared jointly
with the Undersecretariat of Treasury.
PART SIX
Amendments Made in Some Laws
Article 24. Staff positions designated in the annex List 1 have been
established and supplemented to Table 1 for the Ministry of Labor
and Social Security which had been annexed to Decree Law No: 190.
Article 25. The following paragraph has been supplemented to Law No:
3146 on the Organization and Duties of the Ministry of Labor and
Social Security, to read as parapraph (h), and the previous
parapraph (h) has been designated as parapraph (i):
h. To carry out the tasks prescribed by the Law on Work Permits of
Foreigners,
Article 26. Article 34 of Law No: 6235 on Chambers of Turkish
Engineers and Architects dated 27 January 1954 has been amended to
read as follows:
Article 34. Foreign contractors and foreign organizations are
entitled to employ foreign experts in engineering and architecture
related projects of the state, public and private organizations or
persons they undertake solely or jointly with domestic companies,
under work permits to be issued by the Ministry of Labor and Social
Security in consultation with the Ministry of Development and
Housing and Union of Chambers, exclusively for the specific works.
Article 27. Article 35 of Law No: 6235 has been amended to read as
follows:
Article 35. Regarding works outside the scope of Article 34, foreign
engineers and architects holding B.S. and M.S. degrees may be
employed under work permits to be issued by the Ministry of Labor
and Social Security in consultation with the Ministry of Development
and Housing and Union of Chambers.
Article 28.Article 119 of Petroleum Law No: 6235 dated 7 March 1954
has been amended to read as follows:
Article 119. Holders of petroleum rights are entitled to employ
foreign administrative and technical staff and experts under work
permits to be issued by the Ministry of Labor and Social Security in
consultation with the Ministry of Energy and Natural Resources and
Ministry of the Interior.
Article 29. The following paragraph has been supplemented to Article
21 of the Private Education Establishments Law No: 625 dated 8 June
1965, to succeed paragraph 4:
Foreigners to work within the scope of this Law are subject to the
provisions of the Law on Work Permits of Foreigners.
Article 30. Article 3 of the Law No: 2527 Facilitating Foreigners of
Turkish Ancestry to Perform their Occupations and Crafts Freely in
Turkey and Their Employment in Public and Private Establishments or
Busineesses, dated 25 September 1981 has been amended to read as
follows:
Foreigners of Turkish ancestry, in order to facilitate them to
perform occupations, crafts and jobs or be employed in such, which
are permitted for Turkish citizens by laws, will be granted permits
by the Ministry of Labor and Social Security in consultation with
the Foreign Ministry and Ministry of the Interior and other related
ministries and public authorities in accordance with this Law and
the Law on Work Permits of Foreigners, provided that these persons
carry the qualifications specified by the related laws and fulfil
the requirements.
Article 31. Article 18, paragraph (a), subparagraph (1) of Tourism
Encouragement Law No: 2634, dated 12 March 1982 has been amended to
read as follows:
Foreign expert staff and artists may be employed in licensed
facilities under work permits to be issued by the Ministry of Labor
and Social Security in consultation with the Ministry (of Tourism)
and Ministry of the Interior.
Article 32. The below paragraph has been supplemented to Article 26
of Law No: 2634:
Foreigners to work within the scope of paragraph (1) above are
subject to the provisions of the Law on Work Permits of Foreigners.
Article 33. The title of the Tariff 6 associated with Fees Law No:
492, dated 2 July 1964 has been amended to read as follows:
Passport, visa, residence permit and Foreign Ministry endorsement
fees and fees for work permits to be issued for foreigners:
Article 34. The list below has been supplemented to Tariff 6
associated with Law No: 492:
IV - Work permits to be issued to foreigners are subject to the
following fees:
1. Work permits with specific duration:
a. For 1 year (including 1 year) TRL 50.000.000.-
b. For 3 years (including 3 years) TRL 150.000.000.-
Extensions are subject to same fees.
2. Work permits with indefinite duration: TRL 250.000.000.-
3. Work permits for independent work: TRL 500.000.000.-
Foreign Ministry is authorized to designate the work permit fees by
taking reciprocity principles into consideration.
PART SEVEN
Provisional and Final Provisions
Abolished Provisions
Article 35. Law No: 2007 dated 11 June 1932 on Crafts and Services
Reserved for Turkish Citizens in Turkey has been abolished.
Provisional Article 1. Work permits that have been issued before the
date this Law comes into effect, to foreigners working independently
or as employed, in accordance with the provisions of the former
legislation, will be valid until they expire, provided that they are
not cancelled by the Ministry or become invalidated as per the
provisions of this Law.
Provisional Article 2. Information concerning foreigners that have
been issued work permits or employed by public authorities or
organizations before the date this Law comes into effect, will be
submitted to the Ministry within 90 days following the date this Law
comes into effect, by the authorities who have issued the involved
permits.
Provisional Article 3. Work permits in process, which have been
applied for by foreigners before the date this Law comes into
effect, will be issued by public authorities and organizations
authorized by the provisions of the former legislation in effect
before the date of effect of this Law. These authorities will inform
the Ministry thereof, within 30 days after issuing the concerned
work permits.
Coming into force
Article 36. Whereas Article 24 of this Law will come into force on
the date of its publication, other provisions will come into force
six months after the date of publication.
Execution
Article 37. The provisions of this Law will be executed by the
Council of Ministers.
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