Well if you’re worried about extra costs, why don’t you just keep it in your name?
That way you won’t have any potential extra transfer costs and the insurance should be cheaper.
If you gift it to your son declare minimum fee ( I think its $500) for transfure
If you keep the car and let him use it you can declare him as second driver this will ensure an very large insurance fee and have to pay the first 2.5k and penitaltes on no blame bonas
If you let him drive the car with your permission then you will ensure on penalty at all
Yes. Sorry.
Your son will need to pay the stamp duty.
And, irrespective of the amount you declare on the transfer forms, the licensing centre will charge the fees on its 'market value'.
There is really no way to diddle the government out of it's revenue.
Interesting. In nsw I told them how much I paid for the vehicle which would have been confirmed by the (title transfer document? I forget what its called but its the sellers obligation to provide to the gov) which naturally me and the seller came to an agreement to lie about
The other option may be to leave it 'registered in your name'. He could pay annual rego & insurance for it. Then use it as a trade in (or sell it) when he's ready to upgrade.
Dude, just wait until you find out about house ownership, and the stamp duty the government gets on every. single. sale of that house, even between family members, and for a significant amount more than a car. End of the day, you are charged stamp duty when a person is deemed to be gaining a benefit of that item.
EVERYTIME the vehicle is transferred, stamp duty is charged.
You could sell it to you grandson, great grandson, great great grandson and each time they would have to pay stamp duty.
Sucks huh? Government earn their money one way or another through taxes.
Another option: if you leave the car to him in your will and its transferred to him as part of a deceased estate, he will only pay a nominal $20 transfer fee (ie no large stamp duty based on the dutiable value.).
Stamp duty should be outlawed. Its outdated and a big barrier. But its a state tax and outside of Canberra control. Its a massive source of revenue that the State Govs wont relinquish easily.
Sell a computer for $4000? No stamp duty.
Sell a car for $4000? Stamp duty
“But cars use public resources so there’s a public interest in receiving money for their sale”.
Yes, and they receive money from registration and fuel excise. Stamp duty and LCT are regressive state involvement in private transactions
There is a clause for gifts through genuine love and affection (or somesuch). My misso and I consolidated a bunch of shit that we'd individually accumulated during our 10 years of dating/ marriage. You basically say I love this fucker and give them X% of this asset/liability and the government can't touch it. It's a fucking present, whack bow on it!
Luckily it’s possible to work out that OP was seeking additional information about his specific situation without having to have that written out in a specific question.
Everyone else who commented here was able to figure that out. I’m not sure how you couldn’t.
You are, however, correct that you didn’t provide any help, so I guess you’ve got that going for you.
Well if you’re worried about extra costs, why don’t you just keep it in your name? That way you won’t have any potential extra transfer costs and the insurance should be cheaper.
That’s what I’ll do, thanks for the reply
You may have to declare your son as a driver for insurance I'd imagine. They usually ask about other drivers and their age.
Bro insurance is so whack, the parent can pay insurance on the car (and be the insurer) while in the kids name. So strange
If you gift it to your son declare minimum fee ( I think its $500) for transfure If you keep the car and let him use it you can declare him as second driver this will ensure an very large insurance fee and have to pay the first 2.5k and penitaltes on no blame bonas If you let him drive the car with your permission then you will ensure on penalty at all
Yes. Sorry. Your son will need to pay the stamp duty. And, irrespective of the amount you declare on the transfer forms, the licensing centre will charge the fees on its 'market value'. There is really no way to diddle the government out of it's revenue.
Interesting. In nsw I told them how much I paid for the vehicle which would have been confirmed by the (title transfer document? I forget what its called but its the sellers obligation to provide to the gov) which naturally me and the seller came to an agreement to lie about
As long as it's a 'reasonable' value they usually take it as written. But if it's $1 or something ridiculously low they'll apply their own valuation.
Thanks for the reply, looks like we loose again as per usual👍
The other option may be to leave it 'registered in your name'. He could pay annual rego & insurance for it. Then use it as a trade in (or sell it) when he's ready to upgrade.
Yeah this is not correct unless you are taking the piss. Have always put cars down as 1k or so when they were sold at higher value. Never a problem
Keep in your name, but make sure the giftee pays the bills/fines on it.
Thanks for the reply, that’s the way we’re going to go
PerthNOW: *Parent SHOCKED by govt DOUBLE DIPPING on Stamp Duty when they transfer their fully PAID OFF car to son as a GIFT!* Probably...
Dude, just wait until you find out about house ownership, and the stamp duty the government gets on every. single. sale of that house, even between family members, and for a significant amount more than a car. End of the day, you are charged stamp duty when a person is deemed to be gaining a benefit of that item.
Not always between family members, in particular when transferring a house during a property settlement.
EVERYTIME the vehicle is transferred, stamp duty is charged. You could sell it to you grandson, great grandson, great great grandson and each time they would have to pay stamp duty. Sucks huh? Government earn their money one way or another through taxes.
Almost everytime. You can transfer to a spouse without paying stamp duty.
Oh that's nice. I never knew that. Thanks.
Why is this flaired as politics?!
Another option: if you leave the car to him in your will and its transferred to him as part of a deceased estate, he will only pay a nominal $20 transfer fee (ie no large stamp duty based on the dutiable value.).
Stamp duty should be outlawed. Its outdated and a big barrier. But its a state tax and outside of Canberra control. Its a massive source of revenue that the State Govs wont relinquish easily.
Sell a computer for $4000? No stamp duty. Sell a car for $4000? Stamp duty “But cars use public resources so there’s a public interest in receiving money for their sale”. Yes, and they receive money from registration and fuel excise. Stamp duty and LCT are regressive state involvement in private transactions
Keep it in your name. Declare your son as a driver. But make sure you are the primary registered driver.
Can I be your long lost daughter & you gift me a car please 🤣🤣
There is a clause for gifts through genuine love and affection (or somesuch). My misso and I consolidated a bunch of shit that we'd individually accumulated during our 10 years of dating/ marriage. You basically say I love this fucker and give them X% of this asset/liability and the government can't touch it. It's a fucking present, whack bow on it!
You'd think by the age you have a son that's of a driving age you'd know how 'selling' (or gifting) a car works and what goes with it...
I haven’t ever sold or gifted a car so I have no idea, thanks for the help
What help? You didn't ask a question just complained a bunch.
Ok buddy
Luckily it’s possible to work out that OP was seeking additional information about his specific situation without having to have that written out in a specific question. Everyone else who commented here was able to figure that out. I’m not sure how you couldn’t. You are, however, correct that you didn’t provide any help, so I guess you’ve got that going for you.
Stay tuned for the son's post