Luxury Car Tax and Second Hand Vehicles
A Luxury Car is a car that has a GST –Inclusive value that is higher than the Luxury Car Threshold ($61,884.00 in the 2014-2015 Financial Year)
It is payable on a vehicle when, it is purchased from a dealership, and the vehicle is less than two years old. The age of the vehicle is calculated from the build date for locally built cars, or the compliance date for imported cars.
However, if a vehicle is sold, second hand and the Luxury Car Tax has already been paid on the vehicle, you will only have to pay LCT, if the vehicle has actually increased in value. In this extremely rare case, the LCT would only be calculated on the amount of the increase.
The Money Edge | Bundaberg