Incentives and Legislation
The incentives and legislations section is undergoing a comprehensive annual update for 2025, due to be published by 18th April 2025.
The last annual update was to represent situation as of 2024, publihsed on 23rd April 2024.
Incentives and legislation that aim to increase uptake of alternative fuels vehicles and infrastructure.
If you know of other national or local incentives that should be included in this section, please send us an email, or use the button on the right, and let us know. We review the proposed changes and implement the updates on a short notice.
The incentives and legislations section is undergoing a comprehensive annual update for 2025, due to be published by 18th April 2025.
The last annual update was to represent situation as of 2024, publihsed on 23rd April 2024.
Incentives and legislation that aim to increase uptake of alternative fuels vehicles and infrastructure.
If you know of other national or local incentives that should be included in this section, please send us an email, or use the button on the right, and let us know. We review the proposed changes and implement the updates on a short notice.
- VAT benefits
The standard VAT rate applies, with no reductions for BEVs and PHEVs.
- Local incentives
The annual motor vehicle tax, known as Motorlu Taşıtlar Vergisi, is levied on all registered vehicles based on engine capacity, fuel type, and age, with payments due in two installments in January and July.
EV owners pay the same rates as owners of petrol or diesel vehicles.
- AF (Alternative Fuel) Infrastructure Incentives
Turkey offers incentives for electric vehicle charging infrastructure, particularly for fast-charging stations.
- The Ministry of Industry and Technology provides non-repayable support, with machinery and equipment support up to 75% and a cap of 20,000,000 TRY for fast-charging stations.
- Additionally, $16 million in direct funding through the National Energy Efficiency Action Plan, including VAT exemptions for charging stations, highlighting a strong push for infrastructure development.
- Ownership / Circulation Tax Benefits
The annual motor vehicle tax, known as Motorlu Taşıtlar Vergisi, is levied on all registered vehicles based on engine capacity, fuel type, and age, with payments due in two installments in January and July.
EV owners pay the same rates as owners of petrol or diesel vehicles.
- Company Tax Benefits
There are no specific tax benefits identified for companies purchasing electric vehicles for their fleets.
- Companies investing in EV production or related infrastructure may benefit from corporate tax deductions under investment incentive programs.
- Cash incentives or SCT deductions for R&D investments in EV production, effective until 2035, but these are targeted at manufacturers, not fleet operators.
- Registration TAX benefits
The Special Consumption Tax (SCT), which functions as a registration tax, offers reduced rates for electric vehicles, making initial costs lower. Based on Presidential Decision No. 7803 from 2023, the rates are:
- 10% for electric vehicles with engine power not exceeding 160 kW and a tax base not exceeding 1,450,000 TRY.
- 40% for all other electric vehicles with engine power not exceeding 160 kW.
- 50% for electric vehicles with engine power exceeding 160 kW and a tax base not exceeding 1,350,000 TRY.
- 60% for electric vehicles with engine power exceeding 160 kW.
- Interesting Links
- Turkey Sets Special Consumption Tax Rates for Electric Motor Vehicles – VATupdate
- Turkey raises special consumption tax on electric vehicles to 10-60% | Reuters
- New Incentives on Electric Vehicle Charging Stations - Lexology
- Electric vehicle regulation and law in Turkey | CMS Expert Guides
- Status of Electric Vehicles in Turkey – Voltgo
- The Electric Vehicle Charging Infrastructure Boom in Turkey
- Turkey: The government supports the first fully homemade electric car investment project worth $3.7 billion
- Turkey Gazettes Communique on Tax Incentives Concerning Electric Vehicles
- VAT Rates in Turkey - Rates for all goods & services
- Motor Vehicle Tax - Turkey - Angloinfo
- Electric Car Rental in Turkey: Exploring Eco-Friendly Travel
- ELECTRIC VEHICLE INCENTIVES
- Scientific paper on Turkish taxation policies of EVs
Incentives and Legislation
The incentives and legislations section is undergoing a comprehensive annual update for 2025, due to be published by 18th April 2025.
The last annual update was to represent situation as of 2024, publihsed on 23rd April 2024.
Incentives and legislation that aim to increase uptake of alternative fuels vehicles and infrastructure.
If you know of other national or local incentives that should be included in this section, please send us an email, or use the button on the right, and let us know. We review the proposed changes and implement the updates on a short notice.