Turkey raises taxes on fuel, cuts housing sales tax
ANKARA
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Special consumption tax on gasoline and diesel will be increased by 0.20 Turkish Liras per liter, while the value added tax on property sales will be reduced to 8 percent from 18 percent until March 31, 2017, according to the decree.
The special tax on LPG will also be hiked from 1.578 liras to 1.778 liras.
A senior economy official told Reuters the hikes in special consumption tax on fuels will make around 2 billion liras ($681.4 million) in positive contribution to the state budget in 2016 and 8 billion liras ($2.7 billion) in 2017.
The tax hikes in fuels are expected to push up the pumping prices by 4 percent, according to the official.
The special consumption taxes in gasoline was hiked 9.2 percent, in diesel 12.5 percent and in LPG 12.7 percent, added the official.