April 26, 2026 in Sydney, Australia — Vehicle transfer duty — commonly called stamp duty in Australia — is a state government tax levied when a car's ownership changes hands. With rates ranging from 0% in NSW, ACT, and NT to 6.4% in Victoria, buying the same $60,000 car in Melbourne versus Sydney can mean a $3,840 difference in transfer duty alone.
Understanding Vehicle Transfer Duty in Australia
Vehicle transfer duty (or stamp duty) is a one-time tax applied when ownership of a motor vehicle is transferred from one party to another. It applies to:
- New vehicle purchases from dealerships
- Used vehicle purchases from private sellers
- Transfers between family members (in some states)
- Company vehicle transfers to personal ownership
Transfer duty is separate from annual vehicle registration fees and is paid to the state revenue office of the state where the vehicle will be registered.
Complete State-by-State Transfer Duty Rates 2026
| State/Territory | Transfer Duty Rate | Method | Notes |
|---|---|---|---|
| NSW | $0 | Exempt | Exemption from 2023, expires June 2027 |
| VIC | 6.4% | Ad valorem | Highest rate in Australia |
| QLD | $7 per $1,000 | Per $1,000 | 0.7% equivalent |
| WA | $2.70 per $1,000 | Per $1,000 | Lowest rate; EV exemption available |
| SA | $2.20-$2.30 per $1,000 | Per $1,000 | Sliding scale by value |
| TAS | $3 per $1,000 | Per $1,000 | Sliding scale |
| ACT | $0 | Exempt | No duty on vehicles |
| NT | $0 | Exempt | No duty on vehicles |
NSW: No Vehicle Transfer Duty (Temporarily)
NSW removed stamp duty on motor vehicles from 2023 — the first Australian state to fully exempt vehicles from transfer duty. This saves buyers between $90 and $360 on a typical vehicle purchase. The exemption is set to end on June 30, 2027. After this date, NSW may reintroduce vehicle transfer duty.
NSW EV Exemption Bonus
In addition to the general vehicle exemption, NSW offers a specific exemption for new EVs under $78,000 purchased before June 30, 2027. This means a $65,000 Tesla Model 3 currently costs $0 in transfer duty in NSW — compare this to Victoria where the same car would cost $4,160 in stamp duty.
Victoria: Highest Vehicle Transfer Duty in Australia
Victoria charges an ad valorem rate of 6.4% on all vehicle transfers. There is no exemption for EVs in Victoria's transfer duty system.
| Vehicle Price | Victoria Transfer Duty | NSW Transfer Duty (current) |
|---|---|---|
| $20,000 | $1,280 | $0 |
| $35,000 | $2,240 | $0 |
| $50,000 | $3,200 | $0 |
| $75,000 | $4,800 | $0 |
| $100,000 | $6,400 | $0 |
Queensland: $7 Per $1,000 Rate
Queensland charges transfer duty at a rate of $7 per $1,000 of the vehicle value. This equates to 0.7% — much lower than Victoria's 6.4%.
Example: $50,000 vehicle in QLD = $50 x $7 = $350 transfer duty
Same vehicle in VIC = $50,000 x 6.4% = $3,200 transfer duty
Difference: Victoria costs $2,850 more in transfer duty than Queensland.
Western Australia: Low Rate with EV Concession
Western Australia charges the lowest rate among states that apply vehicle transfer duty at $2.70 per $1,000 (0.27%). Additionally, EVs under $75,000 qualify for a full exemption.
Example: $50,000 fossil fuel car in WA = 50 x $2.70 = $135 transfer duty
Example: $50,000 EV in WA = $0 transfer duty
Family Transfers: Exemptions Apply
Most Australian states offer reduced or exempt transfer duty for transfers between immediate family members:
| State | Spouse/Partner | Parent-Child | Notes |
|---|---|---|---|
| NSW | Exempt | Full duty applies | Spouse transfers exempt |
| VIC | Exempt | Full duty applies | Spouse transfers exempt |
| QLD | Exempt | May apply | Check with QRO |
| WA | Exempt | May apply | Check with WA SRO |
| SA | Exempt | May apply | Check with SA Revenue |
How to Pay Vehicle Transfer Duty
In most states, transfer duty is calculated and paid when you register the vehicle with your local roads authority. The registration process collects the duty automatically and remits it to the state revenue office. You can also calculate estimated duty using each state's revenue office website before purchasing.
Conclusion
Vehicle transfer duty varies dramatically across Australia — from $0 in NSW, ACT, and NT to 6.4% in Victoria. If you are buying a $60,000 car, choosing to register in NSW rather than Victoria saves $3,840 in transfer duty. However, NSW's exemption ends June 30, 2027, making 2026 the last year of guaranteed zero-duty vehicle purchases in NSW.
Disclaimer: Transfer duty rates based on State Revenue Office data as of April 2026. Confirm rates with your state revenue office before purchasing.
Official Resources: NSW State Revenue | SRO Victoria | Queensland Revenue | WA Government
