PM announces company car FBT changes to partly fund ETS bring forward

[Chris-p]

Good explanation Simon, thanks for the info. Sure it will be useful to quite a few people.

 

Cheers

C

[Vas]

I would of thought this issue would have a direct impact on some Porsche owners and be a fair topic to discuss.

 

I have no interest in left right or otherwise but I was going to lease a duel cab ute this year and sink a little more money into a second later P car. This clearly has an effect on me being able to do that. Or maybe I just need to book daily meetings between sites for the first 12 weeks. One site is very close to my house to it would almost be like just going to work and back...

 

I guess once a mod tells me to shut up I will.

 

That's why we have the rules Uncle, no one should need to be told to shut up.

If we follow the rules this thread would be fine.

You have made a fair point without breaking the rules, others have not.

But politics and religion have a bad record for civil fact based discussion.

 

Doug as a mod has said " I think this topic should be open for discussion, but not the politics."

I am happy to play by the rules as set out and upheld by the mods.

Doug or Chris, can we clean up the posts in this topic that don't comply ?

It may serve as a good example for the future.

[J.J.]

shares in carsales.com.au down 5% today on the back of this news! get on board

[Chris-p]

Hi Vas, 

 

Thanks for your input and suggestion. The general view is that nothing needs to be modified or removed and we are all comfortable with what has been said in what has turned out to be an interesting thread. Had we not been we would have taken action. While it could be said that politics did get a run, the feeling is that it could be tolerated in the context that it was mentioned and quickly was realised by those involved. What’s great is that the forum consists of well-meaning and considered people with not much need for intervention. It is a discussion forum so there will always be differences of opinion and to date these have all been respected and acknowledged by those involved.

 

So thanks to all and lets move on!

Cheers

C

[Peter M]

How lucky is that!

 

It was only a miscommunication that led me to sign up for my new lease car on the 16th and not the 17th as I had originally intended!

 

Should buy myself a lottery ticket....

[Simonk]

_{I thought I'd work out how this is going to effect me so here's an illustration.}

 

_{$40,000 car. Currently salary packaging my car saves me $3,375 per year under the statutory method compared to owning the car personally.}

 

_{Under the operating cost method I would actually be $1,000 worse off than if I owned the car personally.}

 

_{Under the new rules I will be able to afford a $25,000 car if I want to maintain the same cash position as previously. I will need to buy the car personally because under the operating cost method I would be $500 per year worse off if I salary package the car.}

 

_{Luckily I love my Clubsport and intend on keeping it for a while but it's going to be a very long time before the VF Clubsport is worth $25,000.}

[Guest Harold]

shares in carsales.com.au down 5% today on the back of this news! get on board

Hi, Carsales and all other online advertising mediums will likely see their share price go down as Honda has just become the third import/manufacturer to announce to its dealers that effective later this month it will no longer subsidise advertisements online. All dealers are to only advertise their cars on their own web site. This is intended to stop several activities.

The first is the spiraling out of control advertising cost of dealers, do you know it costs a dealer $25 each time you or I click on its car ad on carpoint?

Secondly, certain dealers of some makes have been claiming a certain level of expenditure and recent audits have revealed some figures are inflated.

Thirdly, they are trying to stop the cowboy dealer who puts a certain model car up for sale at a loss price. Once you enquire the car has been sold. This places price pressure on all dealers.

I would think there are better investments than online car advertising companies at the moment. With the passage of time I bet all makes will follow the leaders and advertising revenue will fall through the floor.

[Coastr]

Hi, Carsales and all other online advertising mediums will likely see their share price go down as Honda has just become the third import/manufacturer to announce to its dealers that effective later this month it will no longer subsidise advertisements online. All dealers are to only advertise their cars on their own web site. This is intended to stop several activities.

The first is the spiraling out of control advertising cost of dealers, do you know it costs a dealer $25 each time you or I click on its car ad on carpoint?

Secondly, certain dealers of some makes have been claiming a certain level of expenditure and recent audits have revealed some figures are inflated.

Thirdly, they are trying to stop the cowboy dealer who puts a certain model car up for sale at a loss price. Once you enquire the car has been sold. This places price pressure on all dealers.

I would think there are better investments than online car advertising companies at the moment. With the passage of time I bet all makes will follow the leaders and advertising revenue will fall through the floor.

The fact is that advertising cars costs nothing these days. In the USA Craigslist is the reigning cha,lion, and despite delivering an ordinary online experience, it costs nothing so ,any peopl use it, including dealers. The local attempt is gum tree. Carsalws.com.au will have aging systems, top-heavy costs in place and is in a vulnerable position. There will always be online sales, and market penetration is key but easily lost if it is not actively maintained.

On the topic...knee jerk policy changes by any government is not good. Year to year fiddles with the tax system cost billions and achieve nothing but policital points scoring.

My p-car purchase intentions have suffered a serious setback - the governemnet have been sending money under the family benefit scheme for years (never applied for it, they just started putting it in). Now they have decided we are not eligible after all and want it all paid back in a lump sum. While it is not a huge amount, my confidence is shaky and recent events have made me very uneasy about making discretionary spending decisions.

[tazzieman]

As an Essendon supporter I wholeheartedly support the use performance enhancing drugs for all politicians.

Oh no , I am guilty of bringing religion into this thread!

[withers]

And an article from The Age today -  MB and BMW already seeing order cancellations.

 

http://www.theage.com.au/executive-style/tax-changes-biting-luxury-car-sales-20130719-2q92w.html

 

Do you guys think this will impact used car sales ie maybe they won't depreciate as quickly given there will be less new cars on the road and new car sales?  Or will dealers have to push hard to get those new car sales now?

[Aussie944S]

My lease if up in April 14, been the best thing I've done and I wanted to do it again but looks like I'm srewed after reading this.

:-( <----- sad face

[reax]

Reported from a "cough .. trusted .. .cough".

 

Car industry is looking at a 10% decline in new car sales which will wipe roughly 1.3 billion in GST revenue from the government coffers and about 100 million from state revenues through lost stamp duty. The change of the FBT rules was to plug a 1.8 billion dollar hole from wiping out the carbon tax and replacing it with an ETS scheme.

 

But on the good side, due to cancelled orders new cars may be heavily discounted in the short term although I doubt this will effect Porsche sales. But if you are looking at a new cheap daily driver there may be a bargain to be had through Toyota / Holden / Ford. Mercedes-Benz is understood to have a surplus of about 400 of its most affordable sedan, the C-Class, which is Australia's second-biggest selling medium-sized car after the Toyota Camry.

 

So in the short term, do you think it will actually have an effect on values of the porsche marque or contain itself to the more standard automotive fare. 

[Coastr]

Reported from a "cough .. trusted .. .cough".

 

Car industry is looking at a 10% decline in new car sales which will wipe roughly 1.3 billion in GST revenue from the government coffers and about 100 million from state revenues through lost stamp duty. The change of the FBT rules was to plug a 1.8 billion dollar hole from wiping out the carbon tax and replacing it with an ETS scheme.

 

But on the good side, due to cancelled orders new cars may be heavily discounted in the short term although I doubt this will effect Porsche sales. But if you are looking at a new cheap daily driver there may be a bargain to be had through Toyota / Holden / Ford. Mercedes-Benz is understood to have a surplus of about 400 of its most affordable sedan, the C-Class, which is Australia's second-biggest selling medium-sized car after the Toyota Camry.

 

So in the short term, do you think it will actually have an effect on values of the porsche marque or contain itself to the more standard automotive fare. 

It is hard to say what is going to happen. Are the changes even law yet? When are we getting an election?

All markets are on hold at the moment as the political freak show grinds on. Cars, housing, investment, all shut up shop until the ballots are counted and people know which direction the country is heading in.

I would say it is bad for the near-new Porsche market, but will not affect the used market unless we enter a more sustained economic downturn.

I see a lot of cars hanging around for a long time unless they're desirable original models listed at realistic prices.

[Aussie944S]

Got an update the libs are keeping SS the same so my friends go forth and lease your dream...........

Happy happy happy......