STORY: Turks flock to Georgia to buy smartphones ahead of tax hikes
DATELINE: July 11, 2023
LENGTH: 00:01:21
LOCATION: ISTANBUL, Türkiye
CATEGORY: SOCIETY

SHOTLIST:
1. various of Türkiye-Georgia border, long car traffic of people trying to get to Georgia
2. various of Türkiye-Georgia border, people going to Georgia at the customs building

STORYLINE:

Turkish people have flooded into neighboring Georgia to buy smartphones ahead of tax hikes, local media reported on Monday.
   
A convoy of vehicles lined up on the border between the two countries over the last weekend, while some Turks were seen to have walked across the frontier before the latest tax hikes took effect on Monday, Sozcu TV reported.
   
The government decided to increase the fees for registration of smartphones bought abroad by 228 percent, from 6,091 Turkish liras (233 U.S. dollars) to 20,000 liras.
   
Mobile phones are already expensive in Türkiye because of the depreciation of the lira and the latest tax raise pushed the prices even higher.
   
The phones are sold at a lower price in Georgia compared to Türkiye due to the tax refund, prompting Turks to travel to the neighboring country for purchases, which was dubbed by local media as "phone tourism."
   
The Turkish government has substantially raised taxes on services and goods as well as consumer loans banking taxes, according to a recent report by the Official Gazette.
   
The value-added tax on goods and services increased to 20 percent from 18 percent, said the national journal of Türkiye. The tax on bank consumer loans surged to 15 percent from 10 percent, it added.

Xinhua News Agency correspondents reporting from Istanbul, Türkiye.
(XHTV)