When you buy a car in Australia — new or used — most states and territories charge stamp duty (sometimes called motor vehicle duty or transfer duty) on the purchase. The amount varies significantly by state, the age of the vehicle, and in recent years, whether the vehicle is an electric vehicle (EV). Understanding motor vehicle stamp duty is important when comparing the total cost of a car purchase across different states.
How Motor Vehicle Stamp Duty Works
Motor vehicle stamp duty is calculated on the purchase price of the vehicle (or market value if the transaction price appears below market, depending on the state). It is typically paid:
- When you register a new vehicle
- When you transfer registration on a used vehicle purchase
The duty is paid to the state/territory revenue authority, usually through the relevant registration authority (e.g., Service NSW, VicRoads, Transport and Main Roads QLD).
Motor Vehicle Stamp Duty Rates by State (2025)
New South Wales
NSW charges motor vehicle duty at progressive rates based on vehicle value. As of 2025:
| Vehicle price | Duty rate |
|---|---|
| Up to $44,999 | 3% of vehicle value |
| $45,000 – $134,999 | $1,350 + 5% of amount over $45,000 |
| $135,000 and over | $6,350 + 5% of amount over $135,000 |
Vehicles with a combined emissions rating — Revenue NSW provides a concessional rate of 3% for low-emission vehicles.
EV exemption: Battery electric vehicles (BEVs) and hydrogen fuel cell vehicles are exempt from stamp duty in NSW (from 1 September 2021, with the EV stamp duty exemption tied to the NSW EV strategy).
Victoria
VIC calculates duty based on the dutiable value:
| Vehicle type | Rate |
|---|---|
| Passenger cars (non-luxury) | $8.40 per $200 (or part thereof) |
| New passenger cars that are fuel efficient or EVs | $8.40 per $200 |
| Luxury vehicles (above luxury car threshold) | Higher rate applies |
EV exemption: VIC removed the stamp duty exemption for EVs; buyers in VIC pay standard rates. However, the state’s EV policy is subject to ongoing legislative changes — check the SRO VIC website for current concessions.
Queensland
QLD charges transfer duty based on vehicle market value:
| Vehicle value | Duty |
|---|---|
| Up to $100,000 | 2% to 4% (tiered) |
| $100,001 – $200,000 | Higher rate |
| Over $200,000 | Premium rate |
QLD applies varying rates. A $30,000 used vehicle typically attracts around $630 in transfer duty. A $60,000 vehicle attracts approximately $1,825.
EV concession: Battery EVs registered in QLD from 1 July 2023 may attract a reduced transfer duty rate or exemption — check the QLD Revenue Office.
Western Australia
WA charges motor vehicle licence duty at 2.75% on the dutiable value of a new vehicle and the market value of a used vehicle.
Example — $45,000 vehicle in WA: $45,000 × 2.75% = $1,238
EV concession: WA provides a stamp duty exemption for new battery EVs and hydrogen fuel cell vehicles purchased before 1 July 2025.
South Australia
SA charges stamp duty at 4% of the market value of all motor vehicles. There is no tiered structure:
Example — $40,000 vehicle in SA: $40,000 × 4% = $1,600
EV concession: SA removed stamp duty for new EVs from 1 October 2021.
Tasmania
TAS charges motor vehicle duty at 3% of the dutiable value:
Example — $35,000 vehicle in TAS: $35,000 × 3% = $1,050
EV concession: TAS currently applies the standard rate to EVs. Check the State Revenue Office TAS for any current concessions.
Australian Capital Territory
ACT calculates duty at rates that vary based on the vehicle’s emissions rating and value. Zero-emission vehicles (ZEVs) in the ACT have historically received concessional duty rates as part of the ACT’s climate policy.
Northern Territory
NT charges stamp duty on motor vehicles at 3% of the vehicle’s purchase price (or market value):
Example — $35,000 vehicle in NT: $35,000 × 3% = $1,050
EV Stamp Duty Concessions — Summary Table
EV stamp duty concessions are a rapidly evolving area of state policy. The following reflects the position as of early 2025 — always confirm with the state revenue authority before purchase:
| State | BEV stamp duty status |
|---|---|
| NSW | Exempt (BEVs and hydrogen fuel cell vehicles) |
| VIC | Standard duty applies (historical exemption removed) |
| QLD | Concession available — check QRO |
| WA | Exempt for new BEVs until 1 July 2025 |
| SA | Exempt for new BEVs |
| TAS | Standard duty applies |
| ACT | Concessional rate for ZEVs |
| NT | Standard duty applies |
Practical Comparison — $55,000 Vehicle
To illustrate differences, the approximate stamp duty on a $55,000 new petrol vehicle across states:
| State | Approx. duty |
|---|---|
| NSW | $1,350 + 5% × $10,000 = $1,850 |
| VIC | ($55,000 ÷ 200) × $8.40 = $2,310 |
| QLD | ~$1,500 |
| WA | $55,000 × 2.75% = $1,513 |
| SA | $55,000 × 4% = $2,200 |
| TAS | $55,000 × 3% = $1,650 |
| NT | $55,000 × 3% = $1,650 |
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- State and Territory Tax hub
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Frequently Asked Questions
Is car stamp duty payable on private vehicle sales? Yes. Motor vehicle stamp duty applies to private sales as well as dealer sales. When you transfer the vehicle registration into your name, the relevant state authority collects the duty based on the purchase price or market value (whichever is higher, in some states).
Can I avoid stamp duty by buying the car interstate? You pay stamp duty in the state where the vehicle is registered — not necessarily where it was purchased. If you buy a car in QLD but register it in NSW, NSW stamp duty applies.
Is motor vehicle stamp duty tax-deductible? For private vehicles, no. For business vehicles used in generating assessable income, the stamp duty forms part of the vehicle’s cost base and may be included in the cost when claiming depreciation under the ATO’s car cost rules.
This article provides general tax information. Motor vehicle stamp duty rates and EV concessions are subject to change with state budgets and policy decisions. Always verify current rates with your state’s vehicle registration authority before purchase. For advice tailored to your situation, speak with a registered tax agent. Find one through the Tax Practitioners Board register.