Tm Company Formation

---
name: tm-company-formation
description: "Source-cited draft: company formation & entity choice for Turkmenistan (tax year 2025) — rates, thresholds and rules with primary-source citations. Unverified; pending local-accountant review."
license: "AGPL-3.0-or-later (code) / OpenAccountants Guide License v1.0 (content)"
metadata:
  source: openaccountants
  openaccountants_url: "https://www.openaccountants.com/skills/tm-company-formation"
  jurisdiction: "TM"
  tax_year: "2025"
  last_updated: "2026-07-13"
---

# Turkmenistan Company Formation & Entity Choice

## Entity types, capital and incorporation

- **Limited Liability Company (LLC)** — Most common vehicle for trading, services and local operations; liability limited to capital contributions  _(Civil Code of Turkmenistan / Law on Enterprises — https://www.healyconsultants.com/turkmenistan-company-registration/setup-llc/)_
- **Joint-stock company (open/closed)** — Used for larger capital-raising or share offerings  _(Law of Turkmenistan on Joint-Stock Companies)_
- **Branch / representative office** — Liaison, marketing or operation under a foreign parent; not a separate legal entity  _(Civil Code of Turkmenistan)_
- **Minimum shareholders (LLC)** — At least 2 shareholders (individuals or corporate entities) ((approx — confirm; single-member may be permitted))  _(Law on Enterprises of Turkmenistan — https://chandrawatpartners.com/llc-incorporation-in-turkmenistan-a-practical-professional-overview-for-investors-across-the-world/)_
- **Minimum directors (LLC)** — At least 1 director; need not be a Turkmenistan national or resident  _(Law on Enterprises of Turkmenistan — https://chandrawatpartners.com/llc-incorporation-in-turkmenistan-a-practical-professional-overview-for-investors-across-the-world/)_
- **Minimum share capital (LLC)** — Varies by source and sector; commonly cited around 5,000 TMT, with substantially higher minimums (e.g. USD 20,000) reported for foreign-invested entities ((approx — confirm against current rules))  _(Law on Enterprises of Turkmenistan — https://www.healyconsultants.com/turkmenistan-company-registration/setup-llc/)_
- **Capital payment schedule** — Half of share capital paid up initially, balance within one year of registration ((approx — confirm))  _(Law on Enterprises of Turkmenistan — https://chandrawatpartners.com/llc-incorporation-in-turkmenistan-a-practical-professional-overview-for-investors-across-the-world/)_
- **Incorporation step 1** — Reserve a company name with the Ministry of Finance and Economy  _(Ministry of Finance and Economy of Turkmenistan)_
- **Incorporation step 2** — Prepare the company charter and obtain notarized copies  _(Civil Code of Turkmenistan)_
- **Incorporation step 3** — Open a bank account and deposit the required share capital  _(Law on Enterprises of Turkmenistan)_
- **Incorporation step 4** — Register the company with the State Tax Service  _(Tax Code of Turkmenistan)_
- **Foreign ownership** — No general legal cap on foreign ownership; wholly foreign-owned enterprises permitted in most sectors  _(Law of Turkmenistan on Foreign Investments — https://chandrawatpartners.com/llc-incorporation-in-turkmenistan-a-practical-professional-overview-for-investors-across-the-world/)_
- **Core annual compliance** — Annual financial statements, annual tax declarations (profits tax, VAT where registered), and monthly payroll/contribution reporting  _(Tax Code of Turkmenistan)_
- **Investment incentives** — Available incentives may include tax exemptions, duty-free import of machinery/equipment, and profit/dividend repatriation rights ((approx — confirm current programs))  _(Law of Turkmenistan on Foreign Investments)_

Foreign investors in Turkmenistan most commonly use a Limited Liability Company (LLC), a joint-stock company, or a branch/representative office. Registration runs through the Ministry of Finance and Economy and the State Tax Service.

## Today's figures and who stands behind this skill

This file is an AI skill (tax rules your AI follows) from OpenAccountants, copied on 2026-07-13. Rates, thresholds and deadlines change. For the current version of this skill, its official sources and the named accountant (if any) who stands behind it, call `get_skill` with slug `tm-company-formation` on the OpenAccountants connector (https://www.openaccountants.com/connect), or read https://www.openaccountants.com/skills/tm-company-formation. If neither is available, confirm every figure against the official source pages cited above before relying on it.