is there a luxury tax on cars

Best answer

Luxury car tax (LCT) is a tax on cars with a GST-inclusive value above the LCT threshold. LCT is imposed at the rate of33%on the amount above the luxury car threshold. LCT is paid by businesses that sell or import luxury cars (dealers),and also by individuals who import luxury cars.

People also ask

  • How much tax do you pay on a luxury car?

  • 10% of the full value of the luxury car, boat or personal aircraft. The tax would apply at the point of purchase if the final sale price paid by a consumer (not including the GST/HST or provincial sales tax) is above the $100,000 or $250,000 price threshold.

  • What countries have luxury car taxes?

  • Luxury Car Taxes. Luxury car taxes are levied in some countries around the globe. Australia, India, Indonesia and Mexico all have either a specifically identified luxury car tax or car taxes in which the rate goes up as the value of the car increases.

  • What is the ATO鈥檚 luxury car tax?

  • According to the ATO, the luxury car tax is set at 33% of the value of the vehicle above the luxury car threshold. For the 2019/2020 financial year, the thresholds have been set at $75,526 for 鈥榝uel-efficient vehicles鈥?and $67,525 for all other vehicles.

  • What vehicles are subject to the New York luxury car tax?

  • In the 2013 model year, the only vehicles subject to the tax are large-engine luxury vehicles, performance cars and sports cars. A luxury car tax is a tax applied to the purchase of automobiles whose cost exceeds a certain threshold.

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