What Is Car Stamp Duty in Victoria?
If you're buying a car in Victoria — whether new from a dealer or used from a private seller — you'll need to pay motor vehicle duty. Commonly called "stamp duty," this is a state tax collected by VicRoads on behalf of the State Revenue Office (SRO) of Victoria under the Duties Act 2000 (Vic).
The amount you pay depends on three things: the type of vehicle, its dutiable value, and the date of registration or transfer. Understanding how it's calculated can save you from surprises — and help you make smarter decisions, like choosing an EV over a petrol luxury car at similar price points.
When Does Stamp Duty Apply?
Motor vehicle duty is payable in Victoria when you:
- Register a vehicle for the first time in Victoria (or anywhere in Australia)
- Transfer registration of an existing vehicle into your name (e.g., buying a second-hand car)
- Bring a vehicle into Victoria that was previously registered in another state or territory
- Receive a vehicle as a gift, inheritance, or other non-sale transfer (duty is based on market value)
When is it due? Duty is collected at the time of registration or transfer. For private sales, the buyer must lodge the transfer application with VicRoads and pay duty within 14 calendar days of the sale date. Penalties and interest apply for late lodgement.
2025–26 Official Duty Rates
The rates below are set by the SRO and have been unchanged since 2024–25. They apply per $200 (or part thereof) of dutiable value. The dutiable value is always rounded up to the nearest $200 before the rate is applied.
| Vehicle Type | Dutiable Value | Per $200 | Effective % |
|---|---|---|---|
| Passenger Car | ≤ $80,567 | $8.40 | 4.2% |
| $80,567 – $100,000 | $14.00 | 7.0% | |
| > $100,000 | $18.00 | 9.0% | |
| Green / Electric Car | Any value | $8.40 | 4.2% (flat) |
| Primary Producer Car | Any value | $8.40 | 4.2% (flat) |
| Motorcycle | Any value | $8.40 | 4.2% (flat) |
| Other Vehicles (utes, trucks) | New | $5.40 | 2.7% |
| Used | $8.40 | 4.2% |
Source: SRO Victoria — Duties Act 2000 (Vic), s.218. LCT threshold 2025–26: $80,567.
Use our free stamp duty calculator to instantly compute your exact duty based on these rates — no manual calculation needed.
What Is the Dutiable Value?
The dutiable value is the higher of:
- The purchase price (including GST and luxury car tax), or
- The vehicle's market value at the time of registration
VicRoads does not independently assess your declared value at the time of lodgement — but the SRO uses industry valuation guides (such as RedBook) to check. If they find your declared value is too low, you'll receive a reassessment notice with additional duty, interest and possibly penalties.
What's included in the dutiable value?
- Vehicle purchase price (GST inclusive)
- Commonwealth Luxury Car Tax (LCT) if applicable
- Accessories and after-market options fitted before registration
- Cost of repairs to meet roadworthy standards, if improved before registration
What's NOT included?
- VicRoads registration fees
- Transfer fees
- CTP/TAC insurance charges
- The stamp duty itself
Step-by-Step Calculation Examples
Example 1: Used Honda CR-V — $35,000
Vehicle type: Passenger car. Dutiable value: $35,000 (below LCT threshold).
- $35,000 is already a multiple of $200 → no rounding needed
- Rate: $8.40 per $200
- Units: $35,000 ÷ $200 = 175
- Duty: 175 × $8.40 = $1,470
Example 2: New BMW X5 — $120,000 (Petrol)
Vehicle type: Passenger car. Dutiable value: $120,000 (above $100,000).
- Tier 1: $80,600 ÷ $200 × $8.40 = $3,385.20
- Tier 2: $19,400 ÷ $200 × $14.00 = $1,358.00
- Tier 3: $20,000 ÷ $200 × $18.00 = $1,800.00
- Total: $6,543.20
Example 3: Tesla Model Y — $72,000 (Electric)
Vehicle type: Green passenger car. EVs pay the flat rate regardless of value.
- $72,000 ÷ $200 = 360 units
- 360 × $8.40 = $3,024
- Saving vs petrol equivalent: no mid-tier surcharge applied
Green Car & EV Stamp Duty in Victoria
One of the most valuable — and least-known — aspects of Victoria's motor vehicle duty system is the flat rate for green passenger cars. A "green passenger car" is defined as any passenger car with combined tailpipe CO₂ emissions of 120 grams per kilometre or less, including:
- Pure battery electric vehicles (BEVs) — zero tailpipe emissions
- Plug-in hybrid electric vehicles (PHEVs) — if emissions qualify
- Some petrol hybrids with low enough emissions
The key benefit: green cars pay a flat rate of $8.40 per $200 regardless of price. So a $150,000 Tesla Model S pays 4.2% — while a $150,000 petrol luxury car pays 9%. That's a difference of nearly $7,000 in stamp duty alone.
Exemptions and Concessions
Spouse or Domestic Partner Transfer
Transferring a vehicle between registered spouses or domestic partners may be exempt from motor vehicle duty. You must apply through VicRoads and provide evidence of the relationship. This does not apply to transfers between other family members.
Disability Exemption
Under s.218 of the Duties Act 2000, if a vehicle is registered to a person with a physical disability and has been modified to enable them to drive it, a partial or full exemption may apply on the modification value.
Primary Producer Concession
Qualified primary producers (farmers, horticulturalists, commercial fishers) who use a passenger car primarily in their business pay the flat rate of $8.40 per $200 regardless of the vehicle's value. Proof of primary producer status is required.
5 Costly Mistakes to Avoid
- Under-declaring the vehicle value. The SRO will check against industry guides. If your declared value is too low, you'll face a reassessment plus penalties and interest. Always use the higher of purchase price or market value.
- Missing the 14-day deadline. For private sales, you must lodge the transfer and pay duty within 14 days of the purchase date — not the date you pick up the car. Penalties apply from day 15.
- Not accounting for modifications. If you repair or improve the car before registration (e.g., roadworthy repairs), those costs add to the dutiable value.
- Assuming a private gift is duty-free. Even gifts and inherited vehicles attract duty based on market value. The only exemptions are narrow and must be applied for.
- Confusing drive-away pricing with the dutiable value. When buying from a dealer, the drive-away price includes stamp duty — but the duty is calculated on the dutiable value, which you must derive using the SRO's separate drive-away formula before using the standard calculator.
Dealer vs. Private Sale: What's Different?
Interstate Cars Coming to Victoria
Use Our Free Calculator
Now that you know how motor vehicle duty works in Victoria, the easiest way to get your exact figure is to use our free VIC stamp duty calculator. It covers all vehicle types with the latest 2025–26 SRO rates and gives you a full step-by-step breakdown of how your duty is calculated.
Simply enter your vehicle type and dutiable value — and get an instant estimate you can use to budget for your purchase.
Summary
Victoria's motor vehicle duty system is more nuanced than most people realise. The key points to remember:
- Duty is based on the higher of purchase price or market value, rounded up to the nearest $200
- Passenger cars use a tiered rate — higher rates kick in above $80,567 and $100,000
- Green/electric vehicles pay a flat 4.2% — no luxury surcharge, regardless of price
- Motorcycles also pay a flat rate; commercial vehicles have different new vs used rates
- Private sale buyers have 14 days to pay — don't miss this deadline
- Declaring the wrong value will come back to bite you — the SRO checks