Totalization Agreement With Turkey
Anyone seeking more information about the U.S. Social Security totalization program – including details of some existing agreements – should write that the agreements allow sSA to total U.S. and foreign insurance credits only if the worker has at least six quarters of U.S. coverage. Similarly, a person may need a minimum amount of coverage under the foreign system to have U.S. coverage accounted for in order to meet the conditions for granting foreign benefits. International social security agreements are beneficial for both those who work today and those whose careers are over. For current workers, the agreements eliminate the double contributions they might otherwise make to social security plans in the United States and another country. For people who have worked in the United States and abroad and are now retired, disabled or deceased, agreements often result in the payment of benefits to which the worker or family members would not otherwise be entitled. Applications should include the name and address of the employer in the United States and the other country, the full name, place and date of birth of the worker, nationality, U.S. and foreign Social Security numbers, location and date of employment, and the start and end date of the assignment abroad. (If the employee works for a foreign subsidiary of the U.S.
company, the application should also indicate whether U.S. Social Security Insurance has been agreed upon for employees of the related company pursuant to Section 3121 (l) of the internal income code.) Self-employed workers should indicate their country of residence and the nature of their self-employment. When applying for certificates under the agreements with France and Japan, the employer (or non-employee) must also indicate whether the worker and accompanying family members are covered by health insurance. In addition to the above-mentioned agreements, Turkey is a signatory to the European Convention on Social Security. The payroll tax is applied to withholding payments such as certain payments to non-residents, professional services fees, dividends and rents paid to persons in the relevant tax codes. If the work or trade envisaged in Turkey exceeds 90 days over a 12-month period, the necessary measures will be to apply for a work permit from the country of origin and obtain a first work visa from the nearest Turkish embassy/consulate, which is the first step with a work permit. The Turkish employer or its legal representative is then required to apply for a work permit with the Ministry of Labour and Social Security within 10 days of the issuance of the work visa. The Ministry of Labour will then review the work permit application filed within approximately 30 days. If you have any questions about international social security agreements, please contact the Office of International Social Security Programs at 410-965-3322 or 410-965-7306. However, do not call these numbers if you want to inquire about a right to an individual benefit. International social security agreements, often referred to as “totalization agreements,” have two main objectives.
First, they remove the double taxation of social security, the situation that occurs when a worker from one country works in another country and is required to pay social security taxes to the two countries with the same incomes. Second, the agreements help fill gaps in benefit protection for workers who have shared their careers between the United States and another country. Turkey has signed social security agreements with 28 countries. These agreements are presented in the table below. As a precautionary measure, it should be noted that the derogation is relatively rare and is invoked only in mandatory cases.