Luxury Car Tax going UP :(

[professor]

even if we only choose to read clause 3.3 that would mean that virtually the entire 100% of the lct increase can be passed through to us anyway.

second bottle going down the hatch so all this matters very little right now :biggrin:

[d3syd]

When does this increase come into effect? I'm ringing my dealer tomorrow to pay for my car in full if it's not too late already.

[Zuzu]

Originally Posted by professor

even if we only choose to read clause 3.3 that would mean that virtually the entire 100% of the lct increase can be passed through to us anyway.

second bottle going down the hatch so all this matters very little right now :biggrin:

lol..lol..at least your taking my advice now..:drinking::drinking:

[SimonB]

Come on guys, although it sucks big time, it's logical that we would have to pay it and that it wouldn't be a freebie. You don't think for a second that the govmint would exempt contracts already signed and there's no way the dealer should pick up an 'Act of Rudd', so... Yup, I'm as disappointed as the rest of you, but there's nothing we can do about it (for another few years anyway), so I'll just have to repay a fraction more each month.

[SimonB]

Originally Posted by d3syd

When does this increase come into effect? I'm ringing my dealer tomorrow to pay for my car in full if it's not too late already.

1st of July, 2008 - I believe. I would also guess that, unless you're taking delivery before then, you're screwed.

[professor]

its a matter of imperfect information for us. those that make their decisions now are making their decisions in an environment of perfect information. that is what is freakin unfair about this! even if it honestly wouldn't matter to most of us (or at least me), how can the government assume it would not matter to those of us with contracts in operation? may be i was selling my last shirt to pay for the car and this could make me join the ranks of the other shirtless people.

[SimonB]

I agree Prof, but since when were taxes fair? Personally, I reckon it should be from the 1st of July, 2009 - but the local industry (what there is left of it) would probably bitch about that.

[jksgoh]

well dealer has said delivery is july... crossing my fingers that its before that as just got my vin.. but probably wont be...
how long from being built did it take for you cars to get delivered to aus ???

[Zuzu]

Originally Posted by jksgoh

well dealer has said delivery is july... crossing my fingers that its before that as just got my vin.. but probably wont be...
how long from being built did it take for you cars to get delivered to aus ???

Approx 8 weeks i think

[amk2912]

d3syd...so if you pay for your car tomorrow guess who wins?

The dealer gets to sit on your money and earn interest or offset his costs on getting your car, which he hasn't got yet.

You pay cash..you lose out on interest you would have earned if you held on to the money for another month or two.

You finance the deal - you pay interest on the loan for something you haven't got. The lending institution would probably want to know the VIN/rego of what they are securing the loan against.

You use your overdraft - you pay interest on the amount, and still don't have the car.

Basically those of us taking delivery after 1 July 2008 are screwed. We are reaping the benefits of all those who voted Labor because they thought it was time for a change or they thought Labor could do better than a govt that had a proven track record in fiscal management.

This short sighted action on LCT will achieve little other than demonstrate that this govt actively discourages hard work and achievement.

[Alext]

IT is another bullshit tax my friends. This country is full of taxes and levies....very high cost of living vs other countries. In Hong Kong (for example) most people pay very little income tax...around 15%. CGT is non-existant also. I have a cousin there who has the priviledge of a salary that literally enables him to buy a high-end luxury car each month for cash if he wanted. When I asked him a year ago if he would retire early & return to Australia he replied to my suprise: "No way, cost of living there is too high and is only going to get a lot worse - significantly so". Boy was he right.

Hard-working Australians get screwed over royally, then have to fork out more just because they want to live life more luxuriously; using what we have earned to subsidise the not so fortunate. Ahh I could go on, but too much thread drift already.

[TwoTriBeZ]

Looks like it kicks in 1st July 2008. SCREWED. My delivery is August.

The extra cost could have got us some nice extras. Bloody Labour Govt, tax here, tax there. Thats all they know how to get their money. If these leaders ran private companies, they would be screwed. Country even taxes us on our SUPER. WTF is that!!!!! They make money with our money then if you want to pull it all out, they tax you.

Anyway, I will speak with the dealer tomorrow and see what to do. May decide to cancel the vehicle now, just so the govt does not get my money. Really ridiculous. GST was meant to stop all these ridiculous taxes. But I guess that was introduced by Liberal.... argghhh

[Alext]

So true TwoTribez. The $1300 or so could pay for a years insurance etc etc. You gotta laugh.

Now how much was that 125...

[TwoTriBeZ]

haha not really laughing, more like crying.

125 will also incur the taxes unless you buy a completely stock model.

[SimonB]

Originally Posted by TwoTriBeZ

125 will also incur the taxes unless you buy a completely stock model.

I guess that's the thing that p*sses me off the most, fair enough, raise the tax %'age but also raise the threshold. I think I heard today that it hasn't gone up in 10 years. After all, they doubled the medicare threshold, why not double the LCT threshold too :wink:?

[Alext]

"Wayne Swan is very inexperienced. One minute he's Robin Hood, taxing the rich to give to the poor, the next minute, he's just Postman Wayne, delivering Peter Costello's tax cuts," Mr Turnbull said.
"He set himself up as being this great inflation fighter, being prepared to slash and burn in the budget, and all he is doing so far is putting up taxes. Taxes on alcohol, taxes on cars."" LOL

[SimonB]

Just noticed this fine print in the pricing brochure:

Note: Optional equipment pricing quoted above is based on factory fitment and includes Luxury Car Tax. If total vehicle price is below the Luxury Car Tax threshold of $57,123, recalculation of Recommended Retail Price is required.

[d3syd]

Originally Posted by amk2912

d3syd...so if you pay for your car tomorrow guess who wins?

The dealer gets to sit on your money and earn interest or offset his costs on getting your car, which he hasn't got yet.

You pay cash..you lose out on interest you would have earned if you held on to the money for another month or two.

You finance the deal - you pay interest on the loan for something you haven't got. The lending institution would probably want to know the VIN/rego of what they are securing the loan against.

You use your overdraft - you pay interest on the amount, and still don't have the car.

Basically those of us taking delivery after 1 July 2008 are screwed. We are reaping the benefits of all those who voted Labor because they thought it was time for a change or they thought Labor could do better than a govt that had a proven track record in fiscal management.

This short sighted action on LCT will achieve little other than demonstrate that this govt actively discourages hard work and achievement.

You are absolutely right. But if the tax is 1 july intro, I'll miss it:thumbup:

Bunch of inexperienced left-wing do-gooders, the lot of them

[Kris]

I hope none of you voted for Kevin Krudd, if so its YOUR fault

[Alext]

According to The Australian, this latest tax gouge will add an extra $30,000 to the price of a $417,000 Ferrari. Brilliant. So will this affect used car prices positively? The Australian second-hand car market is already over-priced compared to places like the UK & US.

[ozzy]

Originally Posted by TwoTriBeZ

Looks like it kicks in 1st July 2008. SCREWED. My delivery is August.

The extra cost could have got us some nice extras. Bloody Labour Govt, tax here, tax there. Thats all they know how to get their money. If these leaders ran private companies, they would be screwed. Country even taxes us on our SUPER. WTF is that!!!!! They make money with our money then if you want to pull it all out, they tax you.

Anyway, I will speak with the dealer tomorrow and see what to do. May decide to cancel the vehicle now, just so the govt does not get my money. Really ridiculous. GST was meant to stop all these ridiculous taxes. But I guess that was introduced by Liberal.... argghhh

Where did you read it comes in on the first of July , ill bet its the day after the budget , they only delay if they are giving a tax cut never charging more

who voted these guys in anyway ?

[professor]

i just got a message from a banker who thinks it unlikely that the increase will to be put into effect. i did not realize that it was a budget legislation still under debate; i thought it was passed!