Automotive groups outraged by QLD labor commitment to luxury car tax
As Queenslanders go to the poll the Federal Chamber of Automotive Industries and RACQ are outraged by QLD Labor’s commitment to a luxury car tax.
“GOVERNMENTS seem to think of motor vehicles as the golden goose,” said Chief Executive of the FCAI, Tony Weber who was reacting to news that Queensland Labor, if reelected this weekend, would push through with a luxury car tax for vehicles sold in Queensland.
The luxury car tax would see car buyers in Queensland pay an additional $2 per $100 of dutiable value added to the transfer duty costs of buying new cars worth more than $100,000.
“There was no consultation with the FCAI nor its members on the detail of this announcement,” Weber said.
Around 20 per cent of the price of a new motor vehicle sold in Australia today is made up of taxes and other charges.
“…motor vehicles are already heavily taxed in Australia. The imposition of GST, stamp duties, registration fees and the ongoing related taxes including fuel excise, are all hitting consumers hard.”
“Depending on the vehicle, a consumer can also get hit with the Federal Government’s pernicious 33 per cent Luxury Car Tax.”
“This announcement compounds that problem even further because it will impose a tax on top of the Federal Government’s Luxury Car Tax.”
At the announcement of its luxury car tax, Labor said the move would net the state ab estimated $75.6 million in taxes. The RACQ has echoed the FCAI’s statement and called the announcement a “double-hit tax on motorists … [and that it would] discourage motorists from buying the safest and most environmentally friendly vehicles”.