Exemptions and concessions

Motor vehicle duty

The following exemptions and concessions apply when a vehicle is:

  • A caravan. Caravan means a trailer within the meaning of the Road Transport Act 2013.

  • left to you in a will

  • awarded to you as part of a divorce settlement.

    Note: In this case, you do not pay a transfer fee either but you will need to produce evidence from the Court confirming your divorce and property settlement. Similar provisions apply on the breakup of a de facto and domestic relationship.
  • registered in your name in another State or Territory and you have paid interstate duty on that vehicle. You must show the certificate of registration when you register the vehicle in New South Wales

  • transferred to NSW registration from the Federal Interstate Registration Scheme (if registered in the same name under that scheme before 1 July 1995)

  • purchased by eligible war veterans

  • transferred from joint names to a single name (married or de facto couples only)

  • used for carrying sick or injured people, provided that it is:

    • specially constructed and used mainly to carry sick or injured people or for mine rescue work;

    • specially constructed, with an unladen weight of not more than 250 kg, and used solely to carry disabled persons

      Note: In both of these situations you must produce proof of construction and intended use by taking the vehicle to a motor registry office. You must fill in an exemption declaration for an invalid vehicle.
  • vehicles that are the property of the following organisations may also be exempt from duty:nonprofit organisations involved in charitable benevolent, philanthropic, or patriotic purpose or welfare work - if a letter of exemption from Revenue NSW is presented at the time of registration.

    • Crown bodies in right of NSW are not liable to pay duty except for the body listed in Schedule 2 of the Duties Act 1997 (NSW), even if the person or body represents the Crown

    • licensed motor dealers vehicles which are second hand (including imported vehicles) if the licensed second-hand dealer signs a declaration stating the vehicle is only being held for resale. There are also some exemptions for certain new vehicles registered as demonstration vehicles

  • nonprofit organisations involved in charitable benevolent, philanthropic, or patriotic purpose or welfare work - if a letter of exemption from Revenue NSW is presented at the time of registration.

Duty is also not payable in the following circumstances, such as when:

  • two people buy a vehicle but the motor dealer registers it in one name only

  • a couple buys a vehicle but the motor dealer registers it in the name of the wrong partner

  • one person buys a vehicle but the dealer registers it in two names

  • a company buys a vehicle but the dealer registers it under an incorrect name

  • a representative buys a vehicle on behalf of another person or company (for example a son buys a vehicle for his father) but the dealer registers it in the representative’s (the son’s) name

  • a representative negotiates the purchase of a vehicle for an employer who pays for it, but the dealer registers it in the name of the representative rather than the company or vice versa

  • a person changes their name through marriage, divorce, deed poll or another legally recognised means and seeks the issue of an amended certificate of registration

  • an error is made in recording the details of a registration

  • a person seeks a change from an abbreviated name to a full name, for example Trish to Patricia

  • a company changes its name but retains the same ACN, ARBN or ABN

  • an owner of a vehicle (who has paid duty or was exempt from duty at the time of registering the vehicle) attaches a taxi or hire car plate to the vehicle, either as owner or lessee, or registers it as a private vehicle

  • No Fee Transactions are issued as a result of the requirements of the Roads and Maritime Services computer system

  • where eligible pensioners transfer vehicles from joint to single names to obtain concessions for two eligible vehicles.

Last updated: 30 July 2017