This study aims to explore teachers' knowledge and belief on how to teach grammar to Turkish learners of English as a foreign language. It is designed as a case study. Its data and findings are limited to the selected setting which is the Department of Basic English at Hacettepe University, Turkey. The research process was composed of two stages. Within the data collected during the first cycle of research, the most reoccurring theme was identified as 'grammar instruction' among the other themes on teacher knowledge. Therefore, in the second cycle of data collection, the scope of research was to elucidate the reasons of structure-based instruction and to gain teachers' perceptions of the 'ideal' grammar teaching methodology for the students learning English in the above mentioned institution. The findings indicate that Turkish practitioners prefer functional teaching methods including student-centered and contextual teaching approaches.