Credits
You may be entitled to a credit for luxury car tax (LCT) you've paid if you:
- purchased a luxury car, and the supplier paid an amount of LCT that was not legally payable and you've borne the cost of the overpaid LCT amount
- paid LCT on a sale or an importation, where you could have quoted but were unable to quote because you were unregistered at the time of supply or importation
- exported a luxury car (on which LCT has been paid) that is a GST-free export.
You're entitled to a credit only if no one else has made a valid claim for a credit in relation to the credit entitlement.
Claiming a credit for LCT
To claim a credit for overpayment of LCT on a purchase or importation, use the Application for luxury car tax credit – entities not registered for GSTThis link will download a file form.
You must claim a credit within 4 years of becoming entitled to the credit.
Refunds
Primary producers and tourism operators can claim a refund of the LCT they have paid on eligible vehicles they have purchased in a financial year.
An eligible vehicle is a 4-wheel drive, or all-wheel drive, and is either:
- a passenger car (MA category) with a ground clearance of at least 175mm
- an off-road passenger vehicle (MC category).
You must be a GST-registered primary producer or tourism operator to be eligible for an LCT refund.
Primary producers
For LCT purposes, a primary producer is an individual, partnership, trust or company carrying on a primary production business, including:
- plant or animal cultivation
- fishing or pearling
- tree farming or felling.
Primary producers carrying out these activities can claim a refund of LCT they have paid on one eligible vehicle per financial year, up to a maximum of $10,000.
For more information on primary production, see TR 97/11 Income tax: am I carrying on a business of primary production?
Tourism operators
For LCT purposes, you are a tourism operator if both the following apply:
- you use the car solely for the purpose of carrying on a business
- the principal purpose of your business is carrying tourists for tourism activities.
Tourism activities must be both leisure activities and of a touring nature.
A leisure activity includes activities involving a tourist visiting a site that has one of the following:
- scenic beauty
- cultural interest
- environmental interest
- historical interest
- recreational interest.
Tourism activities don't include transporting passengers by either:
- taxi or limousine for fares
- a hire-car service.
Tourism operators can claim a refund of LCT they have paid for each eligible vehicle, up to a maximum of $10,000 per vehicle.
Claiming a refund for LCT
To claim a refund, use the Application for luxury car tax refund – for primary producers and tourism operatorsThis link will download a file form.
You must claim a refund within 4 years of becoming entitled to the refund.
You can't claim an LCT refund on your business activity statement (BAS) or from the Department of Home Affairs (Customs).