Changes coming to luxury vehicle tax in an attempt to ‘modernise’ it

The federal government have made changes to the luxury vehicle tax in an attempt to “modernise it”.

Chief executive officer of the Electric Vehicle Council, Beyhad Jafari, says it’s important to recognise these are cars on the luxury vehicles end of the market and the tax differs for fuel efficient cars.

“What the government has done quite recently is say … ‘Back in 2008, we picked what a fuel efficient car was, since then, technology has moved quite a long way,” he told Tony Jones.

Press PLAY to hear what the changes are and what they mean for drivers 

Image: iStock.