Toyota’s call last week for the abolition of the Federal Government’s luxury car tax, in the wake of a Federal Chamber of Automotive Industries (FCAI) report on its rorting, has been met with resolute opposition from Canberra.
“The government is committed to the luxury car tax and a recent audit confirmed the ATO and Customs have adequate arrangements in place to administer the tax effectively.
“The ATO is continually monitoring compliance on such taxes and has strategies in place to deal with any rorts that may emerge from time to time,” a spokesman for the Assistant Treasurer, Bill Shorten, told Autotalk.
Toyota believes the FCAI report makes an even more compelling case for the abolition of what it sees as a particularly discriminatory tax.
“We’ve had little response from the Minister to our call for the abolition of the luxury car tax. But in partnership with the FCAI, Toyota will continue to chip away at government in pursuit of this.
“Importantly, our actions are in line with the recommendations of the Henry Tax Review, which we also participated in,” says Toyota’s Vesna Benns.
Toyota Australia and the FCAI oppose the luxury car tax on the basis that no other consumer product has an additional tax applied simply because the value of the product exceeds an arbitrary threshold.
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