The Turkish Cabinet has approved an increase in the Special Consumption Tax (ÖTV) imposed on a variety of goods, daily Hürriyet reported on its website today.
The ÖTV on motor vehicles, cellular phones, tobacco products and alcholic beverages has been increased.
The decision to increase taxes was taken by the Cabinet following a request by the Finance Ministry.
The tax rate for motor vehicles with engine volumes higher than 2,000 cubic centimeters was increased from 84 to 130 percent and will result in a 25 percent increase in prices, the report said. The tax rate on cars with engine volumes of between 1,600 and 2,000 cubic centimeters was also increased, producing a 12.5 percent price increase.
The ÖTV on cigarettes was increased by 6 percent while the tax on alcoholic drinks was increased in rates that varied according to the type and volume of the drink.
The tax on cellular phones, meanwhile, was increased from 20 to 25 percent.