What is ÖTV (Special Consumption Tax)?
ÖTV (Özel Tüketim Vergisi, Special Consumption Tax) is Türkiye’s single-stage excise tax under Law No. 4760, levied once — at import or first delivery by the producer — on four lists of goods annexed to the law. Unlike VAT, it does not apply at every stage of the chain; but it enters the VAT base, so VAT is calculated on the ÖTV-inclusive price, compounding the burden.
The four lists
List I covers petroleum products, natural gas and solvents (fixed amounts per unit); List II covers motor vehicles, where rates vary by engine size, type and — for EVs — motor power and value, which is why Turkish car prices diverge so sharply from European ones; List III covers alcoholic beverages, cola drinks and tobacco (with minimum fixed taxes); List IV covers a broad range of consumer goods including mobile phones, white goods, electronics, cosmetics and caviar.
Why tech companies meet it
Any business importing devices — phones, tablets, consoles — prices ÖTV into its unit economics. Rates and fixed amounts change frequently by Presidential decision within statutory bands, so a hardware business plan needs a live tax assumption, not a constant. E-commerce sellers of List IV goods, EV importers and fuel-adjacent logistics models all carry ÖTV exposure at the border, and the tax is due at customs alongside import VAT.
Is ÖTV refundable like VAT?
Generally no — it is a cost, not a transit item. Limited exception and refund regimes exist (e.g. certain exports, disabled-driver vehicle exemptions, diplomatic exemptions), each with strict conditions.
ÖTV vs. VAT — quick contrast?
VAT is multi-stage, creditable and broadly neutral for businesses; ÖTV is one-shot, non-creditable and product-targeted. On a taxed product you effectively pay both, with VAT computed on top of ÖTV.
Related: KDV (VAT).