Estimate only. Trade agreements and approval rules change, and several online guides disagree. Confirm origin, the import pathway and every figure with a licensed customs broker before you ship.
Origin is where the car was manufactured, not where you buy or ship it from.
Border Force converts at the weekly rate it publishes, which can differ slightly from the market rate.
Estimate only. Australian Border Force makes the final assessment.
Age 10 years: under 25, so you need a SEVS-registered model, or the Personal Import Scheme if you owned and used the car overseas for 12+ months. A Vehicle Import Approval is required before shipping either way.
Australia charges three taxes on imported cars, and one approval step matters more than any of them. Customs duty is 5% of the free-on-board value for most cars, but it falls to zero for vehicles built in a free trade partner such as Japan, Korea, Thailand, the United States or China, and for any car that is at least 30 years old. GST of 10% is charged on the duty-paid value plus international freight and insurance. Luxury car tax of 33% applies only to the part of the value above a threshold. None of this matters, however, unless the car has an import approval first.
General duty
5%
of FOB customs value
FTA / 30+ years
0%
with proof or age
GST
10%
on duty-paid value + freight
Luxury car tax
33%
above A$80,809
Customs duty is worked out on the customs value, which for Australia is the free-on-board price, not the price including freight. The general rate on passenger vehicles is 5%.
Free trade partners: cars built in Japan (JAEPA), South Korea (KAFTA), Thailand (TAFTA), the United States (AUSFTA) and China (ChAFTA) can enter at 0% when you hold a valid proof of origin. Vehicles made in other CPTPP members, including Canada, Mexico and Vietnam, may also qualify. The United Kingdom agreement likewise removes the car tariff, although a minority of guides still show 5%.
European cars: Australia and the EU concluded a free trade agreement in March 2026 that will remove the 5% tariff on European-made passenger cars. It has not yet been ratified, so the 5% duty still applies today.
Classic cars: a passenger vehicle that is 30 years or older is duty-free. For a 2026 import that means a car built in 1996 or earlier. GST is still payable.
GST is 10% of the value of the taxable importation. That is the customs value plus the duty, plus international freight and insurance. Because freight and insurance are included, shipping costs raise your GST even though duty is charged on the free-on-board price alone.
GST is payable at the time of customs clearance, and GST-registered businesses can usually claim it back, which individuals cannot.
The threshold for 2026-27 is A$80,809 for most cars and A$91,661 for fuel-efficient cars. Since 1 July 2025 a car is fuel-efficient only if its combined fuel consumption does not exceed 3.5 litres per 100 kilometres. That change removed many popular hybrids from the higher threshold.
The Tax Office formula for imports is the LCT value minus the threshold, multiplied by 10 over 11, multiplied by 33%. The LCT value includes the customs value, freight, insurance, duty and the GST on the import. The 10 over 11 step removes GST from the excess.
The car costs A$20,000 FOB, with A$2,500 freight and A$300 insurance. With proof of origin under JAEPA the duty is nil. The taxable value is A$22,800 and GST is A$2,280, about 11.4% of the car’s price.
Without the proof of origin, duty at 5% adds A$1,000, taxable value rises to A$23,800 and GST becomes A$2,380. Total tax is A$3,380.
A German-built car costs A$95,000 FOB with A$3,000 of freight and insurance. Duty at 5% is A$4,750, so the taxable value is A$102,750 and GST is A$10,275.
The LCT value is A$113,025. Against the A$80,809 threshold the luxury car tax is A$9,664.80. Total tax is A$24,689.80, around 26% of the FOB price.
Every road vehicle needs a Vehicle Import Approval before it ships, applied for through the Government’s ROVER system under the Road Vehicle Standards Act. The application fee is commonly quoted at A$50 to A$100, and approval is typically valid for 12 months.
25-year rule: a car at least 25 years old, built in 2001 or earlier for a 2026 import, can use a simpler pathway.
SEVS: newer cars must be on the Specialist and Enthusiast Vehicle Scheme register and are modified by a registered workshop, which commonly costs thousands of dollars.
Personal Import Scheme: if you have owned and used the car overseas for at least 12 months and are moving to Australia, you can bring it in without a SEVS listing. The vehicle cannot be sold for 12 months.
State stamp duty and registration, compliance workshop costs and quarantine fees vary widely, so they are optional inputs. Anti-dumping duties, vehicles of unusual classification and concessions that depend on your personal circumstances need a broker’s review.
The general customs duty is 5% of the free-on-board value, and 10% GST is charged on the duty-paid value plus international freight and insurance. Many cars from Japan, Korea, Thailand, the United States, the United Kingdom and China enter at 0% duty with proof of origin, so GST is often the main tax. Luxury car tax applies above A$80,809, or A$91,661 for fuel-efficient cars, in 2026-27.
GST is 10% of the value of the taxable importation, which is the customs value plus customs duty plus international freight and insurance. A car with an A$20,000 FOB value, A$2,500 freight and A$300 insurance has a taxable value of A$22,800 at 0% duty, so GST is A$2,280.
It is A$80,809 for most cars and A$91,661 for fuel-efficient cars. Since 1 July 2025 a car only counts as fuel-efficient if its combined fuel consumption is 3.5 litres per 100 kilometres or less, which excludes many hybrids that qualified before. The tax is 33% of the amount above the threshold after removing the GST component.
The Tax Office formula is the LCT value minus the threshold, multiplied by 10 over 11, multiplied by 33%. For imports the LCT value includes the customs value, international transport and insurance, customs duty and the GST payable on importation. A car with an LCT value of A$101,500 owes A$6,207.30 against the 2026-27 standard threshold.
Cars built in Japan, South Korea, Thailand, the United States and China qualify for 0% duty under Australia’s free trade agreements with proof of origin, and vehicles made in other CPTPP members such as Canada, Mexico and Vietnam may also qualify. The United Kingdom agreement also removes the car tariff, although a few guides still list 5%, so confirm with your broker.
Yes, for now. Australia and the European Union concluded a free trade agreement in March 2026 that will scrap the 5% tariff on European-made passenger cars and lift the luxury car tax threshold for zero-emission models to A$120,000, but it must be ratified before it takes effect. Until then the 5% duty applies.
No. Passenger vehicles that are 30 years old or older are duty-free under the Customs Tariff schedule, so for a 2026 import that means a car built in 1996 or earlier. GST still applies, and the vehicle must not be so heavily modified that it counts as newly manufactured.
Under the Road Vehicle Standards Act, a car that is at least 25 years old can enter on a simpler pathway than SEVS, so for 2026 a car built in 2001 or earlier. You still need a Vehicle Import Approval through the ROVER system before it ships, and the car must pass state inspection to be registered.
Only through limited pathways. The Specialist and Enthusiast Vehicle Scheme allows models that appear on the SEVS register, with compliance work by a registered workshop. The Personal Import Scheme allows a vehicle you have owned and used overseas for at least 12 months, if you are moving to Australia. You need approval before shipping, and non-compliant cars can be re-exported or destroyed at your expense.
Reviewed by Joshua Victor, Founder. Sources: Australian Border Force and Australian Taxation Office guidance on importing goods and luxury car tax, the Customs Tariff Act 1995, the Road Vehicle Standards Act 2018 and the Australia–EU free trade agreement announcement. Last verified October 2026.