Tuesday, 2 August 2022
Customs Tariff Proposal (No. 5) 2022
Customs Tariff Proposal (No. 5) 2022.
The proposal that I have tabled proposes to amend the Customs Tariff Act 1995 to provide a free rate of customs duty to imported new electric passenger motor vehicles that have a customs value that is less than the luxury car tax threshold for fuel-efficient vehicles. The Australian government is committed to providing access to affordable electric vehicles to all Australians, and this measure is part of this commitment. From 1 July 2022 passenger motor vehicles below this value threshold that are hybrid electric vehicles that can be recharged by being plugged to an external source of power, battery electric vehicles or hydrogen fuel cell electric vehicles are able to be imported with no customs duty payable. This will simplify import processes for the businesses that import these vehicles and enable Australian families to access more environmentally friendly forms of transport. This measure complements the reduction in fringe benefits tax implemented by the Australian Taxation Office and, together with this reduction, commenced on 1 July 2022.