Technology Sector
A Strong Financial Perspective for Technology Companies.
Sector-specific support for R&D, incentives, tax, and financial decisions.
Financial and Tax Advisory for Technology Companies
Technology companies may face distinct financial and tax needs as they grow, invest in R&D, recruit skilled employees, sell internationally, and develop new business models. We help software, SaaS, R&D, and technology businesses manage tax obligations, assess incentive and exemption rules, and support growth decisions with financial information.
We assess Technology Development Zone arrangements, R&D and design incentives, the tax treatment of software and service income, VAT, cross-border services, transfer pricing, management reporting, and investment planning in light of each business model.
A technology company’s financial position may be affected by R&D expenditure, personnel costs, software development costs, license and subscription income, international service sales, and investment decisions. Rules for Technology Development Zones and R&D or Design Centers depend on the activities and applicable statutory conditions. Laws No. 4691 and 5746 are among the principal regulations in this area.
Who We Help
- Software companies
- Software as a Service (SaaS) companies
- R&D and technology companies
- Companies operating in Technology Development Zones
- Fintech ventures
- Digital platforms
- Game development companies
- Technology ventures and startups
- Hardware and technology manufacturers
- Turkish operations of international technology companies
Technopark and R&D Incentives
- Incentives for software and R&D activities in Technology Development Zones and for R&D or Design Centers depend on the location, project scope, and applicable statutory conditions.
- We assess applications under Laws No. 4691 and 5746, the financial processes for employee incentives, project records, and the tax and accounting aspects of incentives.
- We do not assume that every company or activity qualifies; eligibility depends on the rules and the nature of the activities.
Taxation of Software, SaaS, and Service Income
- The tax treatment of software licenses, SaaS subscriptions, digital services, maintenance and support, project development, and user-based revenue can vary with the transaction and contract.
- We assess corporate income tax, VAT, and any withholding implications in light of the revenue model, where the service is supplied or used, and the customer’s country.
- Subscription arrangements described as Software as a Service (SaaS) also require assessment based on their specific contractual and transactional terms.
VAT and International Services
- For software and other services supplied to customers abroad, VAT and corporate tax treatment can depend on the service, where and by whom it is used, the customer’s country, and the contract.
- We assess export-of-services and VAT exemption conditions, withholding and reverse-charge VAT on services received from abroad, and relevant double taxation agreements.
- An invoice issued to a foreign customer does not automatically qualify as an export of services; the transaction conditions must be reviewed.
Transfer Pricing and Intra-Group Transactions
- Software, license, intellectual property, development, and management service transactions between related parties may raise transfer pricing considerations for technology groups.
- We assess intra-group services, license and royalty fees, R&D cost sharing, and related-party reporting obligations in light of the transaction and applicable rules.
- We focus on the financial and tax effects of intellectual property transactions; we do not provide registration or legal services.
Financial Reporting and Growth Planning
- Recurring revenue, personnel costs, R&D expenditure, and cash requirements make regular financial reporting important to technology businesses.
- We support management reporting, budget-to-actual comparisons, cash-flow projections, and revenue and cost analysis suited to the company’s business model.
- We assess the accounting and tax treatment of software development costs as expenses, intangible assets, or R&D expenditure, including applicable amortization.
Investment, Corporate Finance, and Strategic Transactions
- Growth, investment, partnerships, restructuring, and company acquisitions or disposals can have financial and tax consequences.
- Within our service scope, we assess the financial effects of investment decisions, funding requirements, financial models, and the tax aspects of strategic transactions.
- We do not source investors, arrange funds, provide investment banking, or execute transactions.
Financial perspective for technology companies
At Next CPA, we assess technology companies’ tax, incentive, certification, financial reporting, and financial advisory needs in light of their business models.
Let’s assess your technology company’s financial and tax decisions.
We can discuss your R&D, incentive, tax, investment, and financial reporting needs in light of your business model.