CHP leader vows to reduce car sales tax

ANKARA

Kemal Kılıçdaroğlu, the leader of the Republican People’s Party (CHP) has promised to significantly reduce the special consumption tax on car sales, advising people to postpone their plans for buying a new vehicle until the opposition comes to power.

“Postpone buying cars until we come to power. Don’t buy now. When we come to power, we will reduce the special consumption tax. It will be imposed only on luxurious cars,” Kılıçdaroğlu said through a video message late July 25.

“Today, I am opening the automobile dossier, particularly [in the context of] the Special Consumption Tax [ÖTV[. Türkiye is paying the highest car sale tax in the world,” he stated, stressing it became impossible for many in the country buy even a secondhand car, let alone the brand new one.

“We are paying the ÖTV in addition to the 18 percent value-added tax over the original car price. Plus, customs duty and annual vehicle taxes. Why so many tax?” he asked.

A Turkish citizen is paying nearly twice as much as a German citizen while buying the same car, Kılıçdaroğlu stressed, adding “I am making a very open call now. One of the first things we are going to do [when we come to power] is to cut taxes on cars up to 1.6-liter engines to about a quarter of today’s rate.”

“What you have to do is to postpone buying a car and wait a short time for our government. You will enjoy the smell of a new car with your family. You deserve all these cars,” he stated.

This tax cut will not be valid for luxurious cars, those who can afford the luxurious vehicles will continue to pay higher taxes, the CHP leader stated, calling on the automobile sector and car dealers not to be offended by his call. “They should show some patience. When we resolve this ÖTV problem they will swiftly compensate their losses. They already know that the end of the way has also come for them if this [economy] continues like this.”