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Consumers Hit By Tax Increases In Turkey

The Government of Turkey has increased the amount of Special Consumption Tax imposed on passenger cars, tobacco and alcohol, as well as the Special Communications Tax on mobile phones. The hikes were announced in the country's Official Gazette.

The minimum tax on a packet of cigarettes has increased from TYR3.22 (USD1.5) to TYR3.75 (USD1.72), while the tax imposed on most alcoholic drinks has been increased by 10 percent. However, beer is subject to a 15 percent rise.

The tax on cars is banded according to engine cylinder capacity. The tax rate in the lowest band will be raised by 5 percentage points, up to 45 percent, while the highest-performing cars will see an increase of 15 percentage points, up to 145 percent.

Meanwhile, the tax on mobile phone subscriptions is being increased by TYR1 to TYR40 (USD18.33).

The increased taxes, along with other price rises, have led to the value of the Turkish lira falling to a record low.



For further information please contact Murat Ersin, international contact partner for our member firm in Turkey on


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