Cheers mate. Explains the $125K price tag. Still, a 355CH for $125K that is in good condition aint too bad.
Front page of todays Australian Financial Review is an article about how some people have been avoiding the luxury car tax by buying their car as 'trading stock" and holding it for 2 years. http://afr.com/p/national/luxury_car_rort_spurs_tax_debate_lmnqOn6ZfNFQoxZOMEGE5N (You need to be a subscriber to read the full article). Now that it's fully in the "public domain", what are the chances the ATO will have a detailed look at all the transactions ? M
I know of a few people who have bought/imported new cars on a dealers license and then placed them on the market at a high price with no real intention of sale. I see no drama in anyone trying to profit from a strong dollar, i know it upsets people who see their asset eroded because of imports like 360s but hey thats life.If I had the cash I would do it plus the compliancers make a living.
err, doesn't the article say they haven't got the resources? that's how i read it. good points about no luxury boat tax etc.
I'd say by 10.30 this morning they had about 3 times the resources they had working on this before the article appeared.
This has got nothing to do with people bringing 360's in to the country. It directed at people who simply quote and ABN posing as wholesalers to avoid the LCT. Sometimes these individuals even go out and get an LMCT. Then these people advertise the vehicles at a rate that is well in excess of the market and therefore never have to sell the vehicles. There is also some car dealers, one in particular in Melbourne that always advertisers his car's at a rate way in excess of the market. Week in, week out these vehicles sit there. The after 2 years, presto the price drops buy $200K and the car is sold. No names required.
Sort of, at least that's what the the prestige vehicle importers claim. According to them the "rampant rorting" of the system is growing by 10% per year because the government did not have the resources to check who is a legitimate car wholesaler. That may or may not be correct, but you can be sure that the article will lead to a flurry of activity in certain parts of the ATO. Car industry lobbying appears to be the motivation behind the article, it seems the industry is unhappy that rorting of the LCT undermines used car values and would like to see the LCT tax removed entirely. Interesting too that the Henry review recommended abolishing the LCT - can't see that happening under the current political arrangements though. M
I believe the following applies. If you are a owner of a horse, you can't buy the horse through a company and all expenses including purchase price aren't tax deductible. But if you win over a certain amount of prize money, you must declare it. So you miss out at both ends.
What the article is saying is that, given the volume of cars sold, the LCT isn't raising the money it was intended to due to the "trading stock" tax evasion scheme.
Thanks for clearing that up. A lot of talk about this recently, they must really be taking it to heart all those "de-frauding" the LCT system.
LOL. Would you really classify an SS Commodore as a luxury car. That's the problem, with bracket creep you'll be paying LCT on Great Wall cars soon.
