Australian EV Tax $363 Yearly for Electric Car Owners

Govind Tekale

Australian EV owners may soon pay a yearly tax based on how far they drive – up to $363 for the average driver.

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Treasurer Jim Chalmers just announced a new road-user charge that will make EV owners pay their "fair share" for roads.

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Why now? The government collects $15.71 billion yearly from fuel taxes that EV drivers currently don't pay.

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The tax could cost about 3 cents per kilometer driven – meaning $363 annually for the average Australian who drives 12,100km.

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Compare that to petrol car owners who pay around $1,200 yearly through fuel excise at 50.8 cents per liter.

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How would you pay? Likely during registration renewal by reporting your odometer reading.

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New Zealand already uses this system – drivers buy "road user charges" in 1,000-kilometer blocks ahead of time.

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The High Court recently struck down Victoria's attempt at an EV tax – ruling only the federal government can impose such charges.

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Industry experts suggest all vehicles should be taxed by weight and distance – not just EVs.

Photo Source: Jakub Zerdzicki

Despite the new tax, experts don't expect it to slow EV sales as prices continue to drop and competition increases.

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