The statutory deductions applicable in a standard Turkish payroll are social security premium, income tax, and stamp tax. Also, the salaries generated from liaison offices in Türkiye are exempt from income tax per the article 34/14 of Income Tax Law and these are only subject to social security.

Social Security Premium

Social Security Premium are calculated over wages monthly and are paid jointly by the employee and the employer. The contribution rates are as follows:

Short-term employment, unpaid pandemic leave, cash wage support & termination ban measures ended on June 30, 2021.

The employees subject to these measures would need to start their regular working schedules as of 1 July 2021.

Also, the support payments paid by the employers to the employees during the period of short-term employment or pandemic unpaid leave would be subject to social security premiums and income taxes.

You can view the details of the social security premium and income tax arrangements of these kinds of support payments via that link.

Social Security Institution has published a General Letter on 17.06.2021 regarding "The Process About the Occupational Code and Name Changes."

The statements on the SSI General Letter are as below:

a) The administrative fines would be applicable as of the merged Income Tax and Social Security Premium Declaration effective date.

b) If an employee applies for an occupational code and name change to the authorities, there will be no administrative fine for that process.

Social Security Institution has published Circular No. 2021/11 to provide details about the employee registration process during the construction license application.

Per the SSI Circular, the related processes have been completed for the employee registration procedures during the application period of construction certifications for the workplaces where automatic registrations are made by governorships, municipalities, and other public and private legal entities, which are authorized to issue licenses.

Accordingly, for the construction license applications by the employers, if the related data of the employees who will work on that construction is provided to the legal Institution which is in charge with license applications and if that Institution transfers these data to the Social Security Institution via the online portal, the registration procedures would be done automatically, and it would be no required to submit an employee hire form again.