Completely Abolish Luxury Car Taxes in Australia

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The luxury car tax is a tax that the federal government imposed on cars above a certain threshold. Originally is was imposed to try and save the Australian car industry, now it only causes problems, and is unfair, it does not consider non luxurious yet expensive cars, or electric cars that use no fuel.

People all over Australia are unable to buy a new car because of the Luxury Car Tax. The average age of the Australian vehicle fleet is 10.1 years old, as people won’t buy new cars because of the outrageous prices. This means that Australia will only continue to be less prepared for autonomous cars and the future. And this tax doesn't just affect luxury cars, it also affects cars like the Toyota LandCruiser, a car which many people need, is not in anyway luxurious, but is still applicable to the tax.

Toyota’s LandCruiser is an example of a non-luxurious car that still has the luxury car tax. The LandCruiser is expensive not because it is luxurious, but because it can travel trough rigorous and rural terrain, and mat be needed in worksites. The luxury car tax means that the people who need to buy cars who aren’t luxurious, but necessary for the work place, must pay much more. The luxury car tax doesn’t take into account cars that aren’t luxurious but still expensive, and although it does consider fuel efficient cars, it doesn’t do distinguish between fuel efficient and no fuel at all, such as Teslas.

There are many electric cars now and there is bound to be even more, and even though the luxury car tax takes into account fuel efficient cars, it doesn’t take into account electric cars that don’t take up any fuel at all. Cars like the Tesla Model X are already expensive enough, and even though they are eco-friendly, instead of encouraging us to buy these eco-friendly cars, the government is only making them an option for less of us. This will eventually have an enormous toll on the environment, as 75% of carbon dioxide is from on road vehicles. The luxury car tax is useless and is no longer serving the purpose it was intended for.

The luxury car tax was proposed in 1999 and put into effect in 2000 as an attempt to save the Australian car industry by encouraging people to buy Australian cars rather than luxurious cars. The Australian car insustry is already dead. The only purpose that the tax is serving now is polluting the air and holding us back from the future. It’s time to abolish this useless and problematic tax.

This is a tax that is no longer doing what it was intended for. It is only causing more problems: it is making us less ready for an automomous future, it is making people who need these cars use more money than they need to use, and it’s polluting our air.