1. What is Motor Vehicle Duty?

Motor Vehicle Duty is a tax imposed by the Victoria (Australia) government on the registration of motor vehicles. Despite the reference to Canada in the title, this calculator uses Victoria's duty rates.

2. How Does the Calculator Work?

The calculator uses the following formula:

Where:

• Vehicle Price — The purchase price or market value of the vehicle in AUD
• Duty Rate — Percentage rate based on vehicle type (4.2% for cars, 3.5% for motorcycles, 4.4% for trucks)

Explanation: The duty is calculated as a percentage of the vehicle's value, with different rates applying to different vehicle types.

3. Importance of Duty Calculation

Details: Accurate duty calculation is essential for budgeting when purchasing a vehicle and ensuring compliance with Victoria's tax regulations.

4. Using the Calculator

Tips: Enter the vehicle price in AUD and select the vehicle type. The calculator will automatically apply the correct duty rate.

5. Frequently Asked Questions (FAQ)

Q1: Why does the title mention Canada?
A: This appears to be a historical reference. The calculator uses Victoria, Australia duty rates.

Q2: Are there exemptions to motor vehicle duty?
A: Yes, certain vehicles like ambulances or vehicles for disabled persons may be exempt. Check with VicRoads for details.

Q3: Is GST included in the duty calculation?
A: No, duty is calculated on the GST-exclusive price of the vehicle.

Q4: What if I'm transferring a vehicle between family members?
A: Reduced rates may apply for transfers between spouses or parent-child. Special rules apply.

Q5: How often are duty rates updated?
A: Rates typically change with state budgets, but have remained stable in recent years.