Australian Border Force

Freight & Trade Alliance (FTA) has received advice from Australian Border Force (ABF) via ACN 2026/19, of revised Luxury Car Tax (LCT) thresholds applying from 1 July 2026.

The LCT thresholds are reviewed annually and determine the value above which LCT applies to passenger vehicles.

From 1 July 2026, the following LCT thresholds will take effect:  

Fuel efficient vehicles     $91,661 (increased from $91,387 in 2025-26)
Other vehicles                $80,809 (increased from $80,567 in 2025-26)  

Members are encouraged to ensure that systems and processes are updated accordingly where LCT considerations apply, particularly in relation to valuation and reporting requirements for imported vehicles.

For further information, refer to ACN 2026/19 or the Australian Taxation Office guidance on Luxury Car Tax thresholds.