A new regulation being prepared by the Ministry of Industry and Technology aims to introduce a tax-free new car system in Türkiye. The planned incentive is designed to both remove old vehicles from traffic and make car ownership more accessible for families with limited income.
The program, referred to as the “First Car Domestic Vehicle Family Support Program,” will allow citizens who scrap vehicles 25 years or older to purchase a brand-new domestically produced car without Special Consumption Tax (SCT/ÖTV).
The regulation is expected to be submitted to the Turkish Grand National Assembly before the end of 2025.
The program will primarily cover:
Owners of vehicles aged 25 years and above
Families with three or more children (priority group)
Citizens purchasing domestically manufactured vehicles
In addition to tax exemptions, long-term installment plans and low-interest financing options are expected to be offered.
The SCT (ÖTV) exemption will apply only to domestically produced vehicles
Vehicles must meet a minimum local production rate of 40%
The regulation aims to support domestic production while reducing old, unsafe vehicles on the roads
The main objectives include:
Increasing road safety
Encouraging environmentally friendly vehicles
Supporting domestic automotive production
Reducing the tax burden on families purchasing their first vehicle
According to official sources, the regulation is planned to be legislated and implemented by the end of 2025.