FWIW LCT was meant to be scrapped when the Liberal's introducted the 10% GST which was supposed to cover EVERYTHING... but as usual the media jumped onto it and complained about women not being able to afford tampons etc and it started to become complicated with its removal on some things, and the introduction to others. In the end the only way for GST to be passed through the senate was for the Liberals to agree to the Democrats demand to introduce a 25% luxury car Tax.
This rise will only end up hurting successful small business owners making $100,000-$200,000 a year. They are the largest segment of the luxury car buyer's market. These people put their necks on the line, taking on debt to their eyeballs and walking on the financial tightrope every day trying to keep their business cashflow healthy, trying to find the cash to pay another weeks' wages, stock costs, etc.
And when that risk pays off, when their business has grown and they're paying large sums of tax on business profits, employing Australian workers and delivering a valuable product to consumers, this government decides to slug them with extra tax when they go try to reward themselves. In short, the Government is punishing people for building a successful business.
So where's the incentive now to work hard, to innovate, to take on debt, to employ people? Why take on risk, if you only end up getting slugged with consumer taxes in addition to ordinary business taxes?
While we are at it lets tax cigarettes another 8%.
Fresh bread should also be taxed 8%.
Why not another 8% tax on Gravy.
And another 8% tax on Hair cream!
After all... its just another tax.
Old Chinese proverb: you cannot help the poor by hurting the rich.