FCAI chief executive Peter Sturrock today urged the South Australian Government to cut stamp duty on new vehicle purchases in the upcoming South Australian state budget (7th of June).
South Australia currently has a 4% stamp duty for vehicles over $3,000. Queensland has the lowest with a flat 2% stamp duty while NSW and the ACT have a 3% stamp duty on the vehicle price (inc GST) up to $45,000 and 5% for every dollar over $45,000.
“Such a move would encourage the uptake of newer vehicles with more advanced safety features and improved environmental performance, resulting in benefits both to motorists and the automotive industry,” Mr Sturrock explained.
The Victorian Government has cut stamp duties in recent times with the Western Australian Government soon to follow.
“There is a risk we could see some valuable business opportunities going interstate if the South Australian Government does not act quickly to underpin its competitive standing,” he said.
Currently for a vehicle retailing at $40,000, the stamp duty fees for each state are listed below (the stamp duty for WA does not take into account the upcoming changes):
Once the new WA changes take affect, SA will be the most expensive state for stamp duty.