What are on-road costs and the taxes involved in buying a new car?
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What are on-road costs and the taxes involved in buying a new car?
It’s always exciting when you buy a new car, and it’s not a decision that’s made lightly or flippantly. That’s why it’s a good idea to know what you’re getting yourself into – and that means understanding what on-road costs and taxes are attached to the new car price.
First of all, make sure your car dealer quotes you an ‘on-road’ price, so you know there are no hidden or extra costs. Some of the extra costs that come along with your new auto include dealer delivery charges, which cover getting the new vehicle from the factory to the showroom, and things like number plate fitting, and the removal of packing plastic and tape. Compulsory third party insurance is required by Australian law, and covers third party claims of injury or accident from the vehicle. Registration charges are also necessary, and vary according to the type of vehicle, purpose and the status of the person registering the vehicle.
Stamp duty is a tax attached to all car sales, and is payable to the state or territory body , and varies from state-to-state and is dependent on the type and size of the vehicle. It’s calculated on a sliding scale, and some concessions may be available, depending on your status. There is also a luxury car tax if the new car exceeds the current threshold.
To find a car dealer near you with cars for sale, begin your search via one of the links below.