1. What is Motor Vehicle Duty?

Motor vehicle duty is a tax imposed by the Victorian government on the registration of motor vehicles. The duty is calculated as a percentage of the vehicle's market value or purchase price, whichever is higher.

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 standard cars)

Explanation: The duty is calculated by applying the appropriate percentage rate to the vehicle's value.

3. Importance of Vehicle Duty Calculation

Details: Accurate duty calculation is crucial for budgeting when purchasing a vehicle in Victoria. The duty must be paid when registering the vehicle for the first time in Victoria.

4. Using the Calculator

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

5. Frequently Asked Questions (FAQ)

Q1: What is the current duty rate for cars in Victoria?
A: The standard rate for cars is 4.2% of the vehicle's value.

Q2: Are there exemptions to vehicle duty?
A: Yes, certain vehicles like ambulances, fire engines, and vehicles transferred between spouses may be exempt.

Q3: How is the vehicle value determined?
A: Duty is calculated on the purchase price or market value, whichever is higher.

Q4: When is the duty payable?
A: Duty is payable when you first register the vehicle in Victoria.

Q5: Are there different rates for used vehicles?
A: No, the same rates apply regardless of whether the vehicle is new or used.