The ARF (Additional Registration Fees) was 100% of the OMV based on the existing ruling before Budget 2013. This translates to a pure gravy transfer from our bank account into the government coffer. With Budget 2013, a new tier ARF tax structure is in place. If the OMV of your dream vehicle is $36,486, the ARF for this vehicle will now be 100% of the first $20,000 and 140% of the remaining $16,486 which is $23,080. Adding both $20,000 and $23,080 gives you the final ARF of $43,080.
You are now paying an extra $6594 ($43,080 - $36,486) because the OMV is > $20,000. So in short, the higher the OMV, the more ARF you pay.
Total price:
- OMV: $36,486
- COE: assuming $92,667 (Based on 2nd Open Bidding for Month of Feb-2013 for CAT B)
- ARF: $43,080 (Additional Tax Structure of 140% applies to excess $16,486)
- Custom Duty: $7,297 (20% of OMV)
- GST: $3,064 (Based on 7% of OMV + Custom Duty)
- Registration Fees: $140
- Vehicle Plate Fees: $30
Total Cost of Car: $182,764 (Add up all 1 to 7 together)
AD List Price: $216,800
Difference: $34,036 (Translates to Profits for Performance Motor or whatever they can keep after their operating costs are subtracted.)
Guess what car is this?