Tax hike coming for gasoline and diesel! The secret behind the 2 TL increase revealed

Effective from the night of Wednesday, January 3, a tax increase of over 2 TL will be applied to gasoline and diesel in Turkey. The reason for this hike is the announcement of the December producer price index (PPI) data and the decision to increase the fixed special consumption tax (SCT) amounts on fuel products by the rate of the last six months' producer inflation on the same day.

Considering that the PPI change in November was 32.26 percent over the last six months and 24.18 percent over the last five months, if the PPI to be announced on January 3 is 25 percent, it is expected that the tax on gasoline will rise from 7.52 TL to 9.40 TL, and on diesel from 7.05 TL to 8.81 TL.

With these increases, including the 20 percent value-added tax (VAT), there will be a price hike of at least 2.25 TL for gasoline and 2.11 TL for diesel. Furthermore, following the announcement of the minimum wage as 17 thousand 2 TL, vehicle owners may use the fractional amount in this context.

As a reminder, following the elections, a 5 TL increase was made to the fixed SCT amounts on fuel products on July 16, and a regulation was introduced to increase the fixed SCT amounts by the rate of producer inflation every six months. With that hike, a 6 TL increase per liter had been applied to both gasoline and diesel.

News Source: 12punto