Young Entrepreneur Incentive: tax exemption for under-29s in Turkey

One of Turkey’s most powerful incentives for entrepreneurs under 29 is the Young Entrepreneur Incentive. It bundles an income tax exemption with Bağ-Kur premium support.

Eligibility

You must meet all of the following:

• Set up the company between 18–29 years old.
• Become an income-tax payer for the first time.
• Register as a sole proprietorship (simple or actual basis).
• Annual income stays below the legal cap (approx. TRY 230,000 for 2025).

What you get

• Income tax exemption for the first 3 years on income up to ~TRY 230,000.
• Bağ-Kur premium covered by the Treasury for the first year (4/b insured).
• Filings continue, but the exemption is deducted from calculated tax.

Application process

1. Tick “Young Entrepreneur Exemption” on your tax-office registration.
2. Apply to SSI as 4/b insured, requesting the Young Entrepreneur premium support.
3. Have your accountant or ŞirketOn follow through on both filings.

Things to watch

• If you’ve previously been a registered income-tax payer (even briefly), you’re outside the scope.
• The exemption applies only to sole proprietorships — not LLCs or joint-stock companies.
• Income above the cap is taxed normally (progressive rates).

Applying with ŞirketOn

When starting a sole-proprietorship via ŞirketOn, simply tick the Young Entrepreneur checkbox on the registration form. Our team makes sure both tax-office and SSI filings are correctly initiated.

Note: The exemption runs for 3 years from incorporation. If you incorporate at 29, you keep the benefit until you turn 32.