Attachment 12_Contractor Regist. Process _Turkey.pdf

U.S. Military Group – Türkiye

REGISTRATION PROCESS FOR DOD CONTRACTORS IN TÜRKIYE

U.S. contractors (firms or individuals) accompanying U.S. Forces have been operating in Türkiye for more than 60 years. Under international agreements with the Government of Türkiye, these contractors and their

U.S. national employees have been given certain rights and privileges, including corporation/income tax exemptions, tax and customs duty exemption to import personal and household effects, use of Post Exchange and related activities, etc. To receive benefits from these privileges, the Turkish Government (Ministry of

Foreign Affairs (MFA)) must be notified in accordance with the Exchange of Diplomatic Notes (DipNote) 630.

Though there have been several changes in Turkish laws regarding foreign companies in recent years, the process for contractors accompanying U.S. Forces in Türkiye is still relatively easy due to DipNote 630 and many years of implementation. The basic procedural steps are discussed below.

This process is generally for contractors that have not previously performed DoD contracts, accompanying

U.S. Forces in Türkiye. Unless there is a significant change in the type of work or location or a significant increase in the number of U.S. national employees, diplomatic notification and tax registration is only required once per company—not for each new contract award. Contracting officers should allow not less than 90 days between the contract award date and the required work start date.

This informational document was prepared by the U.S. Military Group – Türkiye (USMILGP-T) Legal

Office to assist contracting officers and new DoD contractors in Türkiye. It is not intended as legal advice and does not create obligations on the part of the U.S. Government.

Diplomatic Notification

For new DoD contractors in Türkiye, contracting offices should provide the following information to the

USMILGP-T legal office (milgpt.ja.jag@us.af.mil) as soon as possible after contract award:

• Legal name of the company

• Office address in Türkiye for correspondence and registration with the tax office1

• Description of the service(s) to be provided in Türkiye

• Location(s) where the services are going to be performed

• Number of projected U.S. national employees

• Start and end dates of the contract

• Contractor representative’s contact information for Türkiye (e.g. site lead)

• Contact information for the Contracting Officer’s Representative (COR) or requiring agency in

Türkiye

USMILGP-T will coordinate with the U.S. Embassy to notify MFA of the new contractor via a DipNote. After completing their internal procedures, MFA will inform the relevant Turkish Ministries, such as Customs and

Commerce, Labor and Social Security, Finance, and Interior, about the new U.S. Forces contractor. MFA may reply with a DipNote indicating that the new contractor and its U.S. employees will be granted the rights and privileges given by the related agreements and legislation (DipNote 630, Tax Relief Agreement, etc.). This

DipNote will be given to the contractor representative. In some cases in the past, MFA did not send a response, in which case after a reasonable time period, a copy of the U.S. Embassy’s DipNote will be given to the contractor. The contractor should then get the document translated into Turkish and notarized by a Turkish notary.

1 This location may be the worksite if allowed by the agency.

Attachment 12. This is informational only at this time. It will only affect the awarded contractor.

mailto:milgpt.ja.jag@us.af.mil

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Tax Registration

After getting a notarized translation of the MFA response (or the U.S. DipNote if there was no reply from

MFA), the contractor will apply to the Turkish tax office nearest to the company’s office address and register itself as taxpayer. This complies with the provisions of the Laws on Income and Corporation Taxes and is required by Article 15 of the 1954 Tax Relief Agreement Annex. Although registered as above, U.S.

contractor companies and their U.S. national employees will not pay corporation taxes or income taxes for their revenues related with their services to the U.S. Forces in Türkiye. This tax exemption applies only to work performed pursuant to awarded DoD contracts.

Visas, Residence and Work Permits

DoD contractors must comply with Turkish legislation regarding visas and work and residence permits. Before starting its activities in Türkiye, the contractor is required to follow the necessary legal procedures for its employees that are not ordinarily resident in Türkiye. Contractors may consider either an employee to manage such issues or hiring a local lawyer to assist.

Local or Third Country Employees

If the company decides to hire local nationals and/or non-U.S. nationals to work in Türkiye , local labor requirements (e.g., informing the regional labor directorate of the worksite within a month per Art 3 of Labor

Law No. 4857; having a written labor contract with the employees per Art 8 of the same law; and notifying

Social Security Corporation about the employees before they start working per Art 8 of Social Insurance and

General Health Insurance Law No. 5510) must to be followed to prevent violation of related Turkish legislation.

This informational document is not intended as legal advice and does not create obligations on the part of the U.S. Government. Contractors considering DoD contracts in Türkiye should be aware that the contractor is responsible to ensure compliance with relevant Turkish laws and regulations.

Contact Information:

Legal Office, USMILGP-T milgpt.ja.jag@us.af.mil

COMM: +90 312 422 6898

DSN: (314) 672 6898

*Updated as of 1 November 2025 mailto:milgpt.ja.jag@us.af.mil