• Calculation of Vehicle Licence Duty


    How is vehicle licence duty calculated?

    The amount of vehicle licence duty that is payable is calculated by determining the dutiable value of a vehicle and applying the appropriate rate of vehicle licence duty. 

    The duties calculator will assist in estimating the amount of vehicle licence duty payable.


    Rates of duty

    Non-heavy vehicles

    Vehicles with a gross mass of 4.5 tonnes or less:

    Dutiable Value

    Value Rate
    Up to $25,000 2.75% of dutiable value
    $25,001 - $50,000 R% of the dutiable value, where R = [2.75 + ((dutiable value - 25,000)/ 6,666.66)] rounded to 2 decimal places
    Over $50,000 6.5% of dutiable value

    Heavy vehicles

    Vehicles with a gross mass of more than 4.5 tonnes: 3% of Dutiable Value (capped to a maximum of $12,000)

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    Dutiable value

    The person liable to pay vehicle licence duty must estimate the dutiable value on a Notification of Change of Ownership Form which is sent to the Department of Transport to affect the transfer of the licence.

    New vehicles

    The dutiable value of a new vehicle which is not a heavy vehicle is the recommended retail selling price in Western Australia set by the manufacturer and includes optional features. Optional features only include a particular type of transmission (e.g. automatic vs. manual) or engine size (e.g. 1.8L vs. 2.0L).

    See Revenue Ruling DA 6 'Dutiable Value - Special Promotions on New Vehicles' for further information on calculating the dutiable value of new vehicles that involve promotional pricing.

    Used vehicles or new heavy vehicles

    The dutiable value of a used or new heavy vehicle is the amount for which the vehicle might reasonably be sold, free of encumbrances, in the open market. Redbook is used as a general guide to market value of a vehicle.

    The dutiable value also includes additional features attached to the vehicle at time of licensing.

    For further information on the dutiable value of a vehicle refer to Circular VLD 4 'Definition of Dutiable Value'.

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    Vehicles with specialised equipment

    When there is a grant or transfer of a licensed vehicle which includes specialised equipment, the dutiable value will be reduced by the value of the specialised equipment which has previously been levied with vehicle licence duty.

    Specialised equipment can include (but is not limited to):

    • a crane
    • an excavator, road roller, road grader, bulldozer, mechanical shovel, plough, rotary hoe or similar plant
    • hoisting equipment for lifting, partially lifting or towing other vehicles

    See Duties Form FDA35 'Concession for Specialised Equipment on Specialised Vehicles' for further information on what is considered specialised equipment.


    Estimating the dutiable value on the 'Notification of Change of Ownership Form'

    There may be a difference between the price that a vehicle is sold for and the dutiable value of the vehicle.

    The 'Notification of Change of Ownership Form' requires the purchaser to estimate the dutiable value in addition to the selling price.


    A father decides to sell his vehicle to his daughter for $1,000.  However, the dutiable value needs to reflect what the vehicle would sell for on the open market. The Redbook suggests that type of vehicle is valued at $10,000.  Accordingly, $10,000 would be adopted as the dutiable value and the Department of Transport would assess vehicle licence duty on $10,000.

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    What happens if I disagree with the assessment of duty?

    Lodging an objection does not remove or defer your liability, and payment of your 'Transfer of Vehicle Licence Invoice' is still required by the due date. If you don't pay by the due date an infringement will be issued by the Department of Transport.

    Lodging an objection

    If you believe you are entitled to an exemption under the Duties Act or consider the dutiable value of the vehicle determined by the licensing authority too high, you may make an enquiry or lodge an objection with the Commissioner of State Revenue.


    Before lodging an objection, you should contact Duties Enquiries as it may be possible to resolve your enquiry without the need for an objection.

    An objection against your assessment must:

    • be lodged within 60 days of the date of issue shown on your the licensing authority's notice;
    • be in writing with OBJECTION clearly written at the top of the letter;
    • state fully and in detail the grounds of your objection; and
    • include a copy of the relevant transfer or vehicle licence.

    Lodge your objection with:
    Commissioner of State Revenue
    Office of State Revenue
    GPO Box T1600
    Perth WA 6845

    Telephone:(08) 9262 1100
    WA Country Callers: 1300 368 364

    Any vehicle licence duty overpaid as a result of a successful objection will be refunded.

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