Introduction to Free Zone Regulations

The Mersin Free Zone operates under Turkey's Free Zones Law No. 3218, established in 1985, which provides a legal framework for the establishment, management, and operation of free zones in the country.

Key Benefits

  1. Tax Exemptions:
    • Customs Duties and VAT: Companies operating within the Mersin Free Zone are exempt from customs duties and Value Added Tax (VAT) on goods imported into the zone.
    • Corporate Income Tax: Manufacturing companies in the zone benefit from a 100% exemption from corporate income tax.
  2. Ownership and Profit Repatriation:
    • Foreign Ownership: There are no restrictions on foreign ownership, allowing full foreign control of businesses within the zone.
    • Profit Repatriation: Companies can freely transfer profits and capital from the free zone to other countries without restrictions.
  3. Operational Flexibility:
    • Simplified Procedures: The Mersin Free Zone offers streamlined bureaucratic processes, facilitating easier trade and business operations.
    • Currency Flexibility: Transactions within the zone can be conducted in convertible currencies, providing flexibility in financial operations.

Governing Regulations

  • Free Zones Law No. 3218: This law outlines the establishment, management, and operational principles of free zones in Turkey.
  • Free Zones Implementation Regulation: This regulation sets out principles pertaining to the establishment, administration, and management of free zones, as well as the collection of revenues and other related matters.
  • Circular No. 1998/4: This circular defines the evaluation criteria for activity license applications and sets forth operational rules for companies within the free zones.
  • Free Zone Activity License Application Form: This form specifies the required documents and application steps for obtaining an activity license to operate within the Mersin Free Zone.