Motor vehicles

Description

Duty is payable under the Duties Act 1999 (the Act) on an application to register a motor vehicle or to transfer its registration.

However, no duty is payable if the registration is in the same name as the person who was the registered vehicle operator in another state or a territory, and duty was paid in that state or territory in respect of the registration of that vehicle.

Duty amount

Duty is calculated and payable on the dutiable value of a motor vehicle, which includes the Goods and Services Tax (GST).

Motor vehicles with a Green Vehicle rating

A Green Vehicle Rating only applies to a new motor vehicle that has not previously been registered under:

a) the Road Transport (Vehicle Registration) Act 1999 or another Territory law; or
b) a law of the Commonwealth, a State, another Territory or a foreign country.

The duty payable for vehicles with a Green Vehicle Rating is calculated in accordance with Tables 1, 2 and 3 below.

For the purpose of charging duty, a Green Vehicle Rating for a new motor vehicle means a rating of A, B, C, or D corresponding to the vehicle’s environmental performance score as determined in the Green Vehicle Guide. The environmental performance score for a motor vehicle is the total of the air pollution rating and the corresponding greenhouse rating for the vehicle.

For the purposes of the Disallowable Instrument that determines Amounts Payable – Motor Vehicle Duty, a new motor vehicle includes a demonstrator disposed of by a licensed vehicle dealer within one year of the date the demonstrator was first registered.

Motor vehicles with no Green Vehicle rating

Non-rated vehicles are those that are currently registered or have previously been registered, or those that are not rated under the Green Vehicle Guide.

The duty payable for non-rated vehicles is the same rate of duty as C-rated motor vehicles in Table 2 below.

The duty payable for a non-rated vehicle with a dutiable value of more than $45,000 is the same rate of duty as C-rated motor vehicles in Table 3 below.

However, the duty payable for certain vehicles with a dutiable value of $45,000 or more, such as a motor cycle, large bus, hearse, invalid conveyance, trailer, vehicle with gross vehicle mass more than 4.5t, plant or equipment, or a vehicle prescribed by regulation, is calculated at the same rate of duty as C-rated motor vehicles in Table 2 below.

Table 1 Green Vehicle Ratings and Environmental Performance Scores

Green Vehicle Rating	Environmental performance score (air pollution rating + greenhouse rating)
A	16 or more
B	14 or more but less than 16
C	9.5 or more but less than 14
D	Less than 9.5

Table 2 Amounts Payable for s208 (1)

Table 2 lists the amount payable under s208 (1) of the Act, which applies to all motor vehicles not included in Table 3.

Green Vehicle Rating for s208 (1) of the Act Motor vehicle valued at $45,000 or less	Amount Payable
A-rated vehicle	nil
B-rated vehicle	$2 for each $100, or part of $100, of the dutiable value of the motor vehicle
C-rated vehicle and non-rated vehicle	$3 for each $100, or part of $100, of the dutiable value of the motor vehicle
D-rated vehicle	$4 for each $100, or part of $100, of the dutiable value of the motor vehicle

Table 3 Amounts Payable for s208 (2)*

Table 3 lists the amount payable under s208 (2) of the Act, which applies to vehicles valued at more than $45,000. (or another amount if that amount is determined under the Taxation Administration Act 1999, section 139).

Green Vehicle Rating for s208 (2) of the Act Motor vehicle valued at more than $45,000	Amount Payable
A-rated vehicle	nil
B-rated vehicle	$900, plus $4 for each $100, or part of $100, of the dutiable value of the motor vehicle that is more than $45,000
C-rated vehicle and non-rated vehicle	$1,350, plus $5 for each $100, or part of $100, of the dutiable value> of the motor vehicle that is more than $45,000
D-rated vehicle	$1,800, plus $6 for each $100, or part of $100, of the dutiable value of the motor vehicle that is more than $45,000

* Table 3 does not apply to vehicles listed in s 208 (2) (b) of the Act

For further information regarding the administration and payment of duty on the registration or transfer of registration of a motor vehicle, refer to Revenue Circulars DAA005.2 and DAA009.

Compliance obligations/requirements

The Road Transport (Vehicle Registration) Act 1999 provides that a person who purchases a vehicle is required to transfer the registration within 14 days of purchase. Compliance activities include checking motor registry data and private sales to ensure correct dutiable values are declared.

Documents required on lodgment

The purchaser must give to the Road Transport Authority their details, details of the vehicle purchased and a notice of disposal from the former owner. You should be aware that giving false or misleading information is a serious offence.

Exemptions

Circular DAA009 [RTF, 1.5Mb], [PDF, 34Kb]

Relevant links

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Contact us
Online Feedback	Advice and Assessments
Telephone	(02) 6207 0028 9:00am to 5:00pm Monday - Friday (excluding ACT public holidays)
Facsimile	(02) 6207 0026

Exchange of information

To assist in the identification and assessment of ACT taxes and grants we exchange information with other Revenue Offices and the Australian Taxation Office (ATO).

The exchange of information with other Revenue Offices is in accordance with part 9 of the Taxation Administration Act 1999 (ACT) and similar legislation in the States and the Northern Territory. The exchange of information with the ATO is in accordance with subsection 355-65 (5) Schedule 1 of the Taxation Administration Act 1953 (Cth).