Skoda Dealers Explain Car Stamp Duty

When you visit Skoda dealers, Perth drivers may find themselves a little confused about what stamp duty fees will be applied to their purchase. The additional charges applied when you go to buy a used or new car can get complicated and could end up putting your chosen vehicle out of your price range. So, here we will explain all you need to know about stamp duty.

What is Stamp Duty?

Stamp duty is a form of tax that is levied on official documents by state governments. It is payable on a range of purchases including shares or land, but most people will encounter it when they buy a motor vehicle. Stamp duty is a one off tax that is paid when ownership is transferred. So whether you are buying a vehicle privately or from Skoda dealers, stamp duty will need to be applied.

Stamp Duty in Western Australia:

The stamp duty rates differ throughout Australia, with rates varying in the different territories and states. In Western Australia, stamp duty rates are based on the "dutiable value" of your new vehicle. This is either the list price from the manufacturer for new vehicles or a used car reasonable market value. The current rates are as follows:

Less than $25,000 $2.75 per $100

$25,000 to $50,000 2.75 percent plus there is an additional rate calculated on the price above $25,000.

Over $50,000 6.5 percent or $6.50 per $100.

If you are still unsure about what stamp duty would be applied to your vehicle purchase, the WA Dept of Finance provides a stamp duty calculator on their official website.

Other States and Territories:

If you find your ideal vehicle in a neighbouring state, you should be aware of the stamp duty rates that apply in South Australia or the Northern Territory.

In South Australia, the rates of stamp duty for private vehicles are based on the sales price of the car.

A vehicle priced at less than $1,000 is a rate of 1 percent with a minimum of $5

Between $1,001 and $2,000, the rate is $10 plus 2 percent for each dollar over $1,000

Between $2,001 and $3,000, the rate is $30 plus 3 percent for each dollar over $2,000

Over $3,001, the rate is $60 plus 4 percent for each dollar over $3,000

The Northern Territory stamp duty rate is set at 3 percent of the dutiable value of the vehicle.

If you are interested in what vehicles are available at Skoda dealers, Perth WA drivers should speak to us. Perth City Skoda is an authorized Skoda dealers, and we have a full range of new and quality used models. Our sales team is also available to answer any queries you may have.

Daniel Skoda is a writer across several reputed industrial web posts. He writes for many online journals and portals that are related to Perth City Skoda.