A new decision on electric cars from China took place in the Official Gazette. According to the decision, Chinese electric cars will be subject to an additional 40 percent customs duty. However, the SCT tax regulation published today prevents the vehicles from being increased.
Today’s issue of the Official Gazette, mostly electric cars came up with the relevant decisions. In this context; used in electric cars Excise tax bases have been updated. Thus, some electric cars were allowed to enter the lower tax bracket and become cheaper. However, a remarkable development took place in parallel with this. Government, will come from china decided to impose additional customs duties on electric cars. Thus, the vehicles of the brands that took a step to come to Turkey were increased even before they could come to Turkey.
According to the Presidential Decree No. 6886, the product categories with Gtype numbers 8703.80.10.00.11 and 8703.80.10.00.19 can be applied if the products come from China. 40 percent additional customs duty sure will. These product categories only cover electric cars. The customs tax, which was previously applied as 10 percent, will now be applied as an additional 40 percent customs duty.
Here is that update in the Official Gazette:
“(10)- IGV is applied as 40% for the imports of the ones originating from the People’s Republic of China.”
There are basically two tax items in automobile sales to Turkey. These are SCT and VAT. The decision will significantly increase vehicle prices. Because a car from China basewill be calculated with an additional 40 percent customs tax. After that, SCT and VAT calculation will be made.
The additional customs tax will be reflected in the prices by 54 percent!
As you know, there is a “tax of tax” practice in Turkey. In other words, taxes are calculated by multiplying instead of adding up. Therefore, the increase in the tax bases of Chinese electric cars will reach 54 percent as the current 10 percent customs duty multiplied by 40 percent additional tax.
Excise tax base regulation will outweigh. Despite the additional tax, there may be a decrease in prices
Journalist Emre Özpeynirci announced that the prices of electric cars from China may still decrease after the decision taken. The reason for this is the tax base regulation. According to Özpeynirci’s calculation, a Chinese electric car that entered Turkey yesterday at 28 thousand dollars, 40 percent SCT It could be sold for an estimated 1 million 541 thousand TL in Turkey. When the additional customs tax comes into play with the SCT base regulation, the same vehicle is charged with 10 percent SCT today. 1 million 456 thousand TLIt can be sold to. Moreover, the profit of the distributor and the dealer does not change here. In other words, despite the additional tax, the price of the vehicle drops by around 90 thousand TL.
Emre Özpeynirci’s calculation is as follows:
The decision taken will affect BYD the most.
In a news we shared with you a few days ago, the world’s best-selling electric car manufacturer BYDfrom the future of Turkey we talked about. The decision published in today’s issue of the Official Gazette will affect this brand the most. Yes, the SCT regulation will prevent prices from increasing, but while the prices of electric cars of European brands will decrease, the prices of BYD’s cars will remain constant.
RELATED NEWS
How Much Will the Price of Electric Cars Fall With the New SCT Regulation?
Which Chinese brands have electric cars in Turkey?
BYD has not come to Turkey yet, but there are already Chinese brands selling electric cars in Turkey. These Seres with Skywell. It was possible to see several SUV models of these two brands in Turkey. When we look at the websites of these brands, we see that the current prices are as follows:
- Skywell ET5: 1,299,000 TL
- Seres 3: 991,250 TL
RELATED NEWS