The Communiqué (“Communiqué”) published by the Revenue Administration of the Ministry of Treasury and Finance in Official Gazette dated 26 July 2022 and numbered 31904 has brought several amendments to the Communiqué on the general application of Special Consumption Tax (“General Communiqué”) that was published on 18 April 2015 in Official Gazette numbered 29330.
The most remarkable matters within the scope of the Communiqué are as follows:
- Although the same principle applying to the services as the
accessories, painting, auto detailing and additional guarantee
services obtained by the taxpayers at the delivery or the first
acquisition of the vehicle in the tax assumption of the Special
Consumption Tax (“SPT”) are still
applicable, as an update, it has been regulated that these services
are excluded from the tax assumption if they are bought after the
delivery or the first acquisition of the vehicle, given that there
is no simulation.
- The competence to determine the SPT on motor vehicles has been
transferred from the Presidential Cabinet to the President.
- The scope of this competence has been widened; in the previous
regulation, it was possible to increase SPT rates to their double
amount or decrease them to zero, while the Communiqué made
it possible to increase the SPT rates and the lower and upper
limits on motor vehicles by their triple amount or decrease them to
zero. The President has also been given the competence to classify
the goods with the HS Code of 87.03 in different tax assumption
groups and apply different rates to them, on the condition that the
rates are within these limitations.
- Fire trucks have been made exempt of any SPT.
Details of the Communiqué can be found through this link.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.