Turkey to lower taxes on leased planes to boost airline industry

Many of Turkey’s private airlines lease their planes from other companies.

Güncelleme: 14:07 TSİ 02 Haziran 2008 Pazartesi

ANKARA - Turkey is to drop taxes levied on leasing aircraft as a measure to support the country’s private airlines, Turkish Finance Minister Kemal Unakitan said Monday.

Haberin devamı

Under the proposal, the current tax of 18 percent will be slashed to just one percent, reversing a decision implemented at the beginning of the year which saw the value added tariff imposed on the leasing sector raised from one percent to the present rate.

Announcing the plan in Ankara, Unakitan said that private airlines had high operating costs.

“Our work to help the sector’s development is almost complete and we will send the decision to the cabinet as soon as possible,” he said.