You will need this registration if you intend to import luxury cars over the threshold from outside Australia (regardless if you will be using or commercially selling the vehicles), or sell a car in Australia that is above the threshold.
You may also need to be registered if you are a public institution and you purchase a luxury car locally that is a work of art or collectors piece and is only for public display.
Luxury car tax (LCT) is a tax on cars with a GST-inclusive value above the LCT threshold. It is imposed at the rate of 33% on the amount above the luxury car threshold. Thresholds for the 2021-22 financial year are:
- fuel efficient vehicles - $79,65
- other vehicles - $69,152
Car value is calculated including any parts, accessories or attachments you purchase or import at the same time as the purchase of the vehicle. The LCT will only apply if the vehicle is two years old or less.