Tax Laws Amendment (Luxury Car Tax) Act 2008 (101 of 2008)

Schedule 1   Luxury car tax

A New Tax System (Luxury Car Tax) Act 1999

6   At the end of section 25-1


Luxury car tax threshold - fuel efficient cars

(4) If the*car has a fuel consumption not exceeding 7 litres per 100 kilometres as a combined rating under vehicle standards in force under section 7 of theMotor Vehicle Standards Act 1989, the luxury car tax threshold is the*fuel-efficient car limit for the year in which the supply of the car occurred or the car was*entered for home consumption.

(5) The fuel-efficient car limit for the 2008-09*financial year is $75,000. The limit is indexed annually using Subdivision 960-M of the*ITAA 1997.

(6) In indexing the*fuel-efficient car limit, Subdivision 960-M of the*ITAA 1997 applies as if:

(a) the table in section 960-265 of that Act included an item referring to the fuel-efficient car limit and to subsection (5) of this section; and

(b) the reference in subsection 960-270(1) of that Act to provisions of that Act included a reference to subsection (5) of this section; and

(c) section 960-270 of that Act applied, and section 960-285 of that Act did not apply, in relation to the fuel-efficient car limit; and

(d) the reference in subsection 960-280(2) of that Act to the car limit included a reference to the fuel-efficient car limit.