Entering Turkey from Saudi Arabia

What a Saudi company needs to know before setting up in Turkey or collecting from a Turkish customer: tax treaty rates, documents, staff and enforcement.

Last verified: 12 October 2026

Short answer

A Saudi company can own 100% of a Turkish company and register it in a day once the documents are in order. Dividends paid to the Saudi parent carry withholding tax of 5% if the Saudi parent holds at least 20% of the Turkish company, and 10% otherwise. Saudi Arabia has been a party to the Apostille Convention since December 2022.

How much business do Turkey and Saudi Arabia do?

Trade between Turkey and Saudi Arabia reached USD 8.6 billion in 2025, and Saudi investment in Turkey stands at about USD 2 billion, according to the Turkish Ministry of Trade. A bilateral investment treaty has been in force since 2010.

How are dividends to a Saudi parent taxed?

A Turkish company pays 25% corporate income tax. When it pays a dividend to its Saudi parent, Turkey withholds tax. The domestic rate is 15%. Under the tax treaty the rate is 5% if the Saudi parent directly holds at least 20% of the Turkish company, and 10% otherwise. Rates are from PwC Tax Summaries, reviewed in September 2026. The full table for all countries is in the tax chapter.

Which documents does a Saudi shareholder need?

Saudi Arabia has been a party to the Apostille Convention since 7 December 2022, so Saudi company documents are notarised, apostilled by the Saudi Ministry of Foreign Affairs and then translated by a sworn translator in Turkey. No consular legalisation is needed.

Company registry extract or certificate of activity
Resolution to establish the Turkish company and appoint its representative
Power of attorney, if the formation is handled without travel
Passport copies of the managers

The full process and our fixed price are on the company formation page.

Can you post Saudi staff to Turkey?

Yes, with a work permit. The employer must have five Turkish employees for each foreign employee and paid-in capital of TRY 500,000, or meet the net sales or export test. There is no social security agreement between Saudi Arabia and Turkey, so posted staff are generally insured in Turkey. Saudi citizens can enter Turkey without a visa for up to 90 days in any 180-day period. Entry rules are published by the Turkish Ministry of Foreign Affairs. Details are in the work permit chapter.

What if a Turkish customer does not pay a Saudi supplier?

You can start enforcement proceedings in Turkey without a judgment, and the debtor has 7 days to object. Saudi Arabia is not covered by the 1954 Hague Convention and we found no bilateral treaty on the point, so a Saudi creditor should budget for security for costs of 15% to 20% of the claim. Saudi Arabia is not on the published list of countries that have a judgment treaty with Turkey, and we found no published precedent on reciprocity, so enforcement of a Saudi court judgment is uncertain. The two countries signed a justice cooperation agreement in February 2026, but we could not find its published text. An arbitration clause is the safer choice in contracts with Turkish counterparties, because awards are enforced under the New York Convention. Routes, costs and fixed prices are on the debt collection page.

Who can help on the ground?

For introductions and trade events, the Türkiye-Saudi Arabia Business Council of DEİK is the main bilateral business body. For the legal and tax side of your entry, we give you a written scope and one price.

Common questions

What is the dividend withholding tax between Turkey and Saudi Arabia?

Turkey's domestic rate is 15%. Under the tax treaty the rate is 5% if the Saudi parent directly holds at least 20% of the Turkish company, and 10% otherwise.

Do Saudi company documents need an apostille for Turkey?

Does a Saudi creditor have to post security in Turkish courts?

Saudi Arabia is not covered by the 1954 Hague Convention and we found no bilateral treaty on the point, so a Saudi creditor should budget for security for costs of 15% to 20% of the claim.

Can a court judgment from Saudi Arabia be enforced in Turkey?

Saudi Arabia is not on the published list of countries that have a judgment treaty with Turkey, and we found no published precedent on reciprocity, so enforcement of a Saudi court judgment is uncertain. The two countries signed a justice cooperation agreement in February 2026, but we could not find its published text. An arbitration clause is the safer choice in contracts with Turkish counterparties, because awards are enforced under the New York Convention.