Attention Yacht and Boat Owners! A New Era Begins with the 8% Excise Tax (OTV) Regulation

marmaristms
Sep 6
2 min read

The special consumption tax (OTV) rate to be applied to yachts, cutters, boats, and excursion ships has been set at 8%. This decision was published and entered into force in the Official Gazette on September 6, 2025. The Ministry of Treasury and Finance will be responsible for this decision, which was signed by President Recep Tayyip Erdogan.

Previously, the OTV rate on yachts and excursion boats was reduced to zero by the Cabinet decision dated February 3, 2017. Therefore, after approximately 8.5 years, an 8% OTV has started to be applied again on yachts and excursion boats.

How much will the OTV increase affect yacht prices?

The increase of OTV from 0% to 8% will directly reflect as an 8% increase in yacht prices. For example, a yacht with a tax-free sale price of 10 million TRY will be sold for approximately 10.8 million TRY under the new regulation. The OTV increase from zero to 8% raises the total payment amount for buyers accordingly and creates a cost pressure on the sector.

After the OTV increase, prices of yachts, boats, and excursion ships in the market will rise by approximately 8%. This increase will be directly added to the tax-free price and will further increase the total cost together with VAT and other taxes.
This price increase will apply to both new purchases and yachts and boats currently in the order stage.
Since it will cover all domestic and imported maritime vehicles, there is a risk of slowing sales and a contraction in demand in the sector.

How does the OTV application affect the second-hand yacht market?

The OTV application is expected to increase prices and demand in the second-hand yacht market. Because the new OTV will make new purchases more expensive, many buyers may turn to second-hand yachts, creating activity and price increases in the second-hand market. Specifically:

Price increase: With an 8% price increase on new yachts/boats, second-hand yachts will become more attractive, but short-term second-hand prices are predicted to increase by 5-10%.
Demand increase: Due to the additional tax on new yachts, demand may shift to the second-hand market and increase second-hand sales volume.
No tax exemption: The regulation usually applies to new purchases; the main reason for rising prices in the second-hand market is the increased cost of new yachts.

In summary, the second-hand yacht market may experience both price increases and increased buyer activity.