Reza Jafarzadeh, spokesman for Iran's Civil Aviation Organisation, told state television the jet had crashed near the southwestern city of Shahr-e Kord.
The jet was flying from United Arab Emirates to Istanbul carrying young women.
The aviation agency said six of the eight passengers were Turkish citizens and the other two Spanish.
According to the Turkish Transport Ministry the plane belonged to wealthy Turkish businessman Huseyin Basaran, whose daughter and her friends were among the 11 people killed.
Turkey's private Doğan News Agency identified the plane as a Bombardier CL604, tail number TC-TRB.
Miss Basaran posed in front of the private plane wearing a denim jacket embroidered with the words "Mrs Bride" and "better together" and holding a bouquet of flowers.
Her father's company, Basaran Investment Holding, is active in the food, finance, energy, construction, tourism and travel industries, according to the company's website. A graduate of the private Koc University, Ms Basaran and her friends were from the wealthiest echelons of Turkish society and were educated in the country's best institutions and overseas.
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He added DNA tests would be needed for the identification of the dead.
Melike Kuvvet, the captain of the jet, was one of the first female pilots in the Turkish military, before she resigned and started to work in the private sector, Turkish media reports said.
The IRNA news agency reported that the rescue team had already reached the site where the fire erupted after the plane's crash.
The photograph, hashtagged #minasbachelorette and #bettertogether, said it was taken at the One and Only Royal Mirage luxury hotel in Dubai.
The families of the victims had arrived at the nearby Shahr-e Kord airport along with a Turkish diplomat, said deputy governor of Chaharmahal and Bakhtiari province, Jafar Mardani.
After learning that the private Turkish plane crashed in Iranian territory on Sunday evening, the GCAA sent out a tweet extending its honest condolences to the families of the victims on board.