Turkey: Turkey Increases Special Consumption Tax on Alcoholic Drinks and Tobacco Products

On January 3, 2022, Turkey announced the domestic producer price index (PPI) inflation in the second half of 2021 was 47.39 percent, therefore triggering an automatic increase in the fixed-amount Special Consumption Tax (SCT) for alcohol beverages, soft drinks, fruit juice, and tobacco products. The SCT is levied on beverages in addition to VAT and tariffs and accounts for approximately 65 percent of the price of beer and distilled spirits in Turkey.