Company: MRT
Filing Date: 2025-04-29
Form Type: 20-F
Source: 0001213900-25-036882
Chunk: 223

Company: Marti Technologies, Inc.
Filing Date: 2025-04-29
Form: 20-F
Item: Item 19
Chunk 223
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of Trade, The Turkish government imposes tariffs (the “ Tariffs”) on certain goods imported into Turkiye, including Marti’s
rental vehicles. Accordingly, the Group pays the required percentage of Tariffs for the import of vehicles into Turkiye. The costs associated
with the Tariffs were capitalized as part of the associated costs of the vehicles when the vehicles were purchased. The costs were then
depreciated and included in the consolidated statement of operations consistent with related vehicle depreciation policy.

F-16

MARTI TECHNOLOGIES, INC. AND ITS SUBSIDIARIES

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS AS OF DECEMBER 31, 2024

(Amounts expressed in US$
unless otherwise stated.)

3 - 
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES AND USE OF ESTIMATES (Continued)

3.19 Share-based
compensation expense

The Group periodically grants share-based awards,
including but not limited to, restricted ordinary shares, restricted share units and share options to eligible employees, directors and
nonemployees.

Share-based awards granted to employees, non-employees
and directors are measured at the grant date fair value of the awards using an appropriate valuation model and are recognized as compensation
expense using the straight-line method over the requisite service period, which is generally the vesting period.

The fair value of the Common Stock underlying
the stock option awards was determined by the board of directors. Given the previous absence of a public trading market, the board of
directors considered numerous objective and subjective factors to determine the fair value of our Common Stock at each meeting at which
awards were approved.

These factors included, but were not limited to;

  the results of unrelated third-party values of the Company’s  

  the Group’s performance and market position, which  
  may change over time,                               
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  the industry outlook,  

  the valuation of comparable companies,  

  the likelihood and timeline of achieving a liquidity event,              

The Group accounts for forfeitures as they occur.
In the case of awards being forfeited because of a failure to achieve a service condition, the previously recognized expense is reversed
in the period of forfeiture.

A change in any of the terms or conditions of
share-based awards is accounted for as a modification of the awards. The Group calculates incremental compensation cost of a modification
as the excess of the fair value of the modified awards over the fair value of