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WHAT ARE THE ELIGIBILITY CRITERIA FOR CAR TAX CONCESSIONS?

24
May

If you are a person with a disability or a veteran, or even if you buy a luxury car then you may be eligible for tax concessions. You can claim tax concessions when you lease, buy or modify a car with medical assistances and purposes rather than other vehicles like vans or trucks.

People with disability
An eligible person with a disability can claim tax concessions if the following criteria match:

• Lost the use of one or more limbs that has been certified by Medibank Health Solutions (MHS) or Health Services Australia;
•  The disabled person is unable to use public transport for the next two years;
• You intend to use the car to travel to or from money-making employment for either two years or 40,000 kilometres from the purchase date;
• The disabled person cannot claim tax concessions if they are not gainfully employed, purchase the car jointly with another person, such as a spouse or carer, work as a volunteer only, & want to use the car to look for gainful employment and a student only.

Veterans

• Have lost both arms or a leg, and extracted permanently and completely useless when you served in the Australian Defence Force or any other Commonwealth armed force;
• You intend to use the car to travel for personal transportation for either two years or 40,000 kilometres from the purchase date;
• When you receive a totally and permanently incapacitated (TPI) pension and a Special Rate Disability Pension.

Luxury car

If you are a disabled person or veteran and using a modified luxury car, like setting up a special seat and wheelchair then you can claim a concession from your luxury car, but you will not be eligible for an exemption from luxury car tax if you have bought the car GST-free.