Yesterday we happily reported the nation wide vehicle stamp duty fees which showed that QLD came out as the winner with a small 2%, but its all about to change!
Queensland Premier Peter Beattie today announced the Queensland state government will increase stamp duty on motor vehicle transfers by as much as 2 per cent (can you tell its not an election year?), but the Federal Chamber of Automotive Industries (FCAI) is not happy.
“This is a clear and patent grab for a bit of extra tax revenue by the Queensland government, it is a poorly thought through tax increase and amounts to an attack on Australian jobs, the manufacturing industry and Queensland families.” FCAI President Mr Sturrock said.
The current drought conditions in QLD have led a considerable number of farmers to suicide and Mr beattie says the increased rates will help fund the states failing mental health system to combat this trend.
“Queensland has underfunded mental health for too long, we can’t continue to have a higher percentage – 14 per cent higher when it comes to suicide – than the national average,” Mr Beattie said.
So just how much have the rates increased? The simple 2% system no longer applies. The new system will tax car enthusiasts even more (as if the state’s ridiculous speed traps were not enough). V8s will cost the most while hybrids the least.
The 2 per cent rate will increase to
- 2 per cent for hybrid cars (unchanged)
- 3 per cent for four-cylinder vehicles
- 3.5 per cent for six-cylinder vehicles
- 4 per-cent for V8s and above
In a state renowned for going backwards, FCAI boss Mr Sturrock said
“Premier Beattie’s announcement should be contrasted with recent decisions by the Victorian and Western Australian state governments to cut stamp duty on new motor vehicle purchases.”
Apart from the extra cost for new car buyers, the higher the stamp duty, the more the likelihood of older (unsafe) cars remaining on our roads.
The QLD Government expects to raise an extra $200 Million dollars a year from this latest scheme to help pay for the states mental health system.