Buying a Car Down Under. Beware the Hidden Taxes

[Ash007]

Should the US$ strengthen of course that would be case. But with record dollar printing and US$ interest rates set at 0 we just dont see it as inflationary pressures will entice the RBA to raise rates long before the US Fed.

Perhaps when US inflation finally catches up with the American consumer then the US fed might raise rates but by then the ECB BOE and RBA would have risen long before and subsequent carry trades would limit any dollar rise.

We just dont see the US$ raising to the "equlibrium" A$ 1.66, instead it will go the other way.

So does this mean the US would be a cheaper place to stay? Because its dollar is weaker?

 

[Aussie Prick]

So does this mean the US would be a cheaper place to stay? Because its dollar is weaker?

of course. prices in the US are falling and everywhere else going up.

You can get a 5-6 Bedroom mansion in the US for 400K same house in Australia is 4million. You can buy five cars for one in Singapore.

On a recent trip to US I saw the same LCD TV at Best Denki was being sold for S$3K that was 800 USD at a store in USA. Same for computer, same for clothes at mall, shoes, brand name clothing etc etc.

take your pick. cheap or expensive.

 

[axe168]

of course. prices in the US are falling and everywhere else going up.

You can get a 5-6 Bedroom mansion in the US for 400K same house in Australia is 4million. You can buy five cars for one in Singapore.

On a recent trip to US I saw the same LCD TV at Best Denki was being sold for S$3K that was 800 USD at a store in USA. Same for computer, same for clothes at mall, shoes, brand name clothing etc etc.

take your pick. cheap or expensive.

Losers will go for 'cheap'.. while winners go for 'future value'..
Stayers will wait for cheese.. while Quitters will venture for more..
Losers will 'save' while winners find ways to increase 'revenue'..
Stayers are happy for monthly pay.. quitters are planning for future reitrement and create favourable environment for his offsprings.

Take your pick.. your destiny is sealed..

 

[Ash007]

of course. prices in the US are falling and everywhere else going up.

You can get a 5-6 Bedroom mansion in the US for 400K same house in Australia is 4million. You can buy five cars for one in Singapore.

On a recent trip to US I saw the same LCD TV at Best Denki was being sold for S$3K that was 800 USD at a store in USA. Same for computer, same for clothes at mall, shoes, brand name clothing etc etc.

take your pick. cheap or expensive.

Well, good luck in the States then mate.

 

[Imperialarse]

Losers will go for 'cheap'.. while winners go for 'future value'..
Stayers will wait for cheese.. while Quitters will venture for more..
Losers will 'save' while winners find ways to increase 'revenue'..
Stayers are happy for monthly pay.. quitters are planning for future reitrement and create favourable environment for his offsprings.

Take your pick.. your destiny is sealed..

Then all Singaporean people are losers then for wanting less costly value for money etc

 

[Ash007]

Then all Singaporean people are losers then for wanting less costly value for money etc

Like the saying "Penny wise pound foolish" Most sinkie kisau behaviour centers around this exact phrase. I think what axe is trying to say is that getting the cheapest stuff may not be the best option in the long run.

 

[londoncabby]

Then all Singaporean people are losers then for wanting less costly value for money etc

How very interesting. When GCT spoke of quitters during the National Day Speech he was referring to Singaporeans leaving in the 1990s for other countries where the cost of living was lower and "big houses could be bought for lower" in countries such as Australia. Dont leave Singapore and quit your homeland to buy cheaper was the message.

Now all of a sudden we get badly behaved complaining Singaporeans on this forums such as Chewed, Axe 168 and Neddy (one person who registered thier nick on July 2008) who defend Oz and now claim "just because its cheaper its not better" and so on. We all know the national psyche of Singaporeans to chase value for thier money so we know what Singaporeans will choose. The next time word gets around a certain sale results in significant discounts and the subsequent mob of Singaporeans pushing and shouting to get thier lot for less money we should all tell ourselves this is not a part of being a Singaporean. Materialism does not exist in Singapore. Its a figment of our imagination. Money has nothing to do with our national identity. And cows might fly.

So it would seem that the best choice to be a "quitter" in 2009 would be the United States but all of a sudden we need to rewrite the rules of being a quitter to suit the bady behaved sour puss Singaporeans residing in Oz as they cant accept they no longer live in prime "quitter" locale.

As I said very interesting. I think I fully understand why most Singaporeans are in fact applying to Canada over Oz today.

 

[londoncabby]

BTW this new "Ash007" is really Neddy only posting in Threads where Neddy is posting.

Just a heads up to anyone this new Ash007 is really Neddy.

 

[axe168]

Then all Singaporean people are losers then for wanting less costly value for money etc

This my personal opinion which may or may not be true.. For instance, to get an iPOD, (whether it is cheap or expensive) the best method to assess is to calculate how many hours of work you put in to achieve your goal.

http://finance.yahoo.com/real-estat...UEc2xrA3NhbGFyeXVwZGF0ZQ--?mod=realestate-buy

 

[axe168]

How very interesting. When GCT spoke of quitters during the National Day Speech he was referring to Singaporeans leaving in the 1990s for other countries where the cost of living was lower and "big houses could be bought for lower" in countries such as Australia. Dont leave Singapore and quit your homeland to buy cheaper was the message.

Now all of a sudden we get badly behaved complaining Singaporeans on this forums such as Chewed, Axe 168 and Neddy (one person who registered thier nick on July 2008) who defend Oz and now claim "just because its cheaper its not better" and so on. We all know the national psyche of Singaporeans to chase value for thier money so we know what Singaporeans will choose. The next time word gets around a certain sale results in significant discounts and the subsequent mob of Singaporeans pushing and shouting to get thier lot for less money we should all tell ourselves this is not a part of being a Singaporean. Materialism does not exist in Singapore. Its a figment of our imagination. Money has nothing to do with our national identity. And cows might fly.

So it would seem that the best choice to be a "quitter" in 2009 would be the United States but all of a sudden we need to rewrite the rules of being a quitter to suit the bady behaved sour puss Singaporeans residing in Oz as they cant accept they no longer live in prime "quitter" locale.

As I said very interesting. I think I fully understand why most Singaporeans are in fact applying to Canada over Oz today.

It doesn't matter which country you go.. if your basic objective is to lead a happy life and have more family time.. any non-competitive country will fit the bill You will not be left behind coz there are many lazy ppl out there. heehee..

If I want cheap stuff I can always travel back to SG and have GST free !.. Hey, otherwise there is internet website for easy shopping.. I bought 4 pairs of Doc Martens shoes last year for cheap-cheap USD.

So who's cheap ? AU or SG or Somalia ? SG is good.. however, in my opinion AU suits me.. but.. Somalia is cheap..wait perhaps Ethiopia...

 

[axe168]

Like the saying "Penny wise pound foolish" Most sinkie kisau behaviour centers around this exact phrase. I think what axe is trying to say is that getting the cheapest stuff may not be the best option in the long run.

Thank you. You read my mind.. hehe

 

[londoncabby]

It doesn't matter which country you go.. if your basic objective is to lead a happy life and have more family time.. any non-competitive country will fit the bill You will not be left behind coz there are many lazy ppl out there. heehee..

If I want cheap stuff I can always travel back to SG and have GST free !.. Hey, otherwise there is internet website for easy shopping.. I bought 4 pairs of Doc Martens shoes last year for cheap-cheap USD.

So who's cheap ? AU or SG or Somalia ? SG is good.. however, in my opinion AU suits me.. but.. Somalia is cheap..wait perhaps Ethiopia...

Oh get a life. People will choose the best for less and that is the United States these days not Australia.

You can be Singaporean or European or Jewish. Everyone wants the best for less and THAT SURE AS HELL IS NOT AUSTRALIA.

And tell your other 10 nicks I am onto them.

 

[neddy]

Losers will go for 'cheap'.. while winners go for 'future value'..
Stayers will wait for cheese.. while Quitters will venture for more..
Losers will 'save' while winners find ways to increase 'revenue'..
Stayers are happy for monthly pay.. quitters are planning for future reitrement and create favourable environment for his offsprings.

Take your pick.. your destiny is sealed..

To Axe168, ash007, chewed,
You people know something that Aussie Prick aka londoncabby aka .... does not yet realised.

Sigh!

 

[neddy]

Like the saying "Penny wise pound foolish" Most sinkie kisau behaviour centers around this exact phrase. I think what axe is trying to say is that getting the cheapest stuff may not be the best option in the long run.

There is a chinese saying "yi fen qian, yi fen huo" (what you pay is what you get)

Even arbitrage has its price.

 

[redbull313]

Oh get a life. People will choose the best for less and that is the United States these days not Australia.

You can be Singaporean or European or Jewish. Everyone wants the best for less and THAT SURE AS HELL IS NOT AUSTRALIA.

And tell your other 10 nicks I am onto them.

we have more cars over here than we have buyers and the banks are not lending to complicate the whole thing so that's why the car prices are even lower even after the rebates and car dealerships are closing down all across the country.

but if you have cash you can pick up the ride of your dreams for a song

 

[axe168]

In Australia, we acknowledged cheap is not always good. We go for value-for-money.. but Australian always comes 1st (when competing with foreigners). 'Australian made, Australian products'..

 

[kiketerm]

181812.1

http://www.kotsemo.com/Www/Extra/News/?newsID=223

The hidden taxes on your new car

Every time Porsche sells a new 911 Turbo in Australia, the tax man makes enough money to buy five Toyota Corollas.

That’s the startling truth about Australia’s tax regime as it applies to motor vehicles.

Taxes on new cars range from 9 per cent for Australian made vehicles to 36 per cent for the most expensive imports.

A third of the price of a new Rolls-Royce Phantom, or a staggering $300,805, goes into the government’s coffers. And that figure will rise even further when the Government lifts the luxury tax on vehicles that cost more than $57,123 from 25 to 33 per cent.

In the wake of the latest slug on car buyers, Drive has calculated the various taxes paid on 10 cars sold in Australia’s, ranging from the Hyundai Getz and Holden Commodore to the 911 Turbo and Rolls-Royce Phantom – and the results aren’t pretty.

Drive can’t tell you exactly how much import duty you pay because the 10 per cent tariff is paid on the wholesale price of the car, before the manufacturer and dealer add their profit margins.

Car companies won’t reveal how much import duty they pay because it would allow their competitors to estimate their profit margins.

So for the purpose of our table, we’ve estimated a 10 per cent profit for both the dealer and manufacturer.

The chief executive of the Federal Chamber of Automotive Industry, Andrew McKellar, says Australia is “right up there” when it comes to taxing car buyers.

“The luxury tax in particular is far higher than any similar tax anywhere in the world,” he says.

The differences are most notable in luxury imports. For example, a Porsche 911 that costs more than $200,000 in Australia sells for less than $75,000 in the United States. Holden’s own Commodore SS, which sells for $45,290 here, costs roughly $32,000 in the States.

Australian motorists can potentially pay up to five taxes or duties when they buy a new car.

Import duty is charged when a vehicle arrives on Australian shores, then GST and luxury car taxes are levied, before stamp duty and registration fees take another slice of the pie.

“The tax burden on motorists is already substantial and the increase in luxury tax is simply a punitive measure on top of that,” he says.

He says the tax regime now hits luxury buyers three times during the sale process. Apart from the luxury tax, they also pay more GST by virtue of their car’s higher purchase price.

Then once the sale goes through, they pay a higher percentage of the sale price in stamp duty because the rate is based on a sliding scale, where the tax rate increases in most states at $30,000 and $45,000.

On a Porsche 911 turbo, the GST payable is $25,732, the luxury tax is $51,348 and the stamp duty totals $15,820. Add to that an estimated import duty of more than $20,000 and you come up with a total tax burden that is approaching the cost of a new Porsche Boxster.

The taxes payable on a Toyota LandCruiser would buy a new Toyota Yaris, while the tax on a BMW 5-Series would pay for a Volkswagen Golf.

McKellar says the other injustice is the fact that many cars that were never intended to be caught in the luxury tax net are now affected because the level at which the tax cuts in has not been adjusted in line with inflation.

“There hasn’t been any decent increase in the luxury tax threshold in the past four or five years. It hasn’t kept pace with the changes in the industry. Whatever happened to the good old Aussie notion of a fair go,” he says.

Why so high cost in australia????? Look at those car price in Uk, france, spain other werstern country the price damm low one.

 

[redbull313]

In America Amica Insurance is USD 300 for whole year including comprehensive insurance (collision and liability), roadside assistance and rental car coverage for a new BMW 3 Series.

Try to compare. Then we can talk about mechanic costs in Australia. Got mechanics charging 15 USD in US. Try to compare. Then compare annual registration nenewal at USD 56 for BMW 3 series. Australia cost? 500% more.
Parking? Endless list of how bad Australia is.

I'm paying about $550 for two cars a year from Nationwide. If I add a third car its $100 more a year

Nationwide Insurance is great and they cater to Asian drivers

Many of them speak Chinese too so most Asians over here get Nationwide for the prices and service.

 

[Aussie Prick]

I'm paying about $550 for two cars a year from Nationwide. If I add a third car its $100 more a year

Nationwide Insurance is great and they cater to Asian drivers

Many of them speak Chinese too so most Asians over here get Nationwide for the prices and service.

all that competition drives the prices down

an insurance company that wants to specialize in asian drivers? and I thought asian drivers were the worst does this company make any money after all asian drivers are challenged

 

[redbull313]

all that competition drives the prices down

an insurance company that wants to specialize in asian drivers? and I thought asian drivers were the worst does this company make any money after all asian drivers are challenged

We have too much competition as it is and too many insurance companies competing for less drivers on the roads these days

Nationwide we found them through the Asian community they just give the best rates