victoria luxury car tax

In Victoria, people say “luxury car tax” but there are actually two bites of the cherry: the federal Luxury Car Tax (LCT) and Victoria’s motor vehicle duty, which ramps up for pricier passenger cars.

LCT is a federal 33% tax on the portion of a car’s value above the annual threshold (higher threshold for fuel‑efficient vehicles), and it’s separate from stamp duty.

Victoria’s duty is state-based and tiered by dutiable value and vehicle type, so expensive and thirsty toys pay more than humble runabouts.

Dealers roll both into drive‑away pricing; with private sales you’ll meet the duty at transfer, while LCT applies wherever the sale crosses the threshold. For exact figures, use the Vic calculator and the ATO LCT threshold page—rules change, unlike your taste for leather seats.