car cost limit fy23

For FY23 (1 July 2022–30 June 2023), the ATO’s car cost limit is $64,741—beyond that, your depreciation claim politely stops playing along.

Pay more if you like, but for tax purposes it’s invisible confetti past the limit.

If the price tops the cap, your GST input tax credit is limited to 1/11th of the car limit, and the cap includes GST and any LCT, but not on-road costs like rego or stamp duty.

Don’t mix it up with Luxury Car Tax: for 2022–23 the thresholds are $84,916 (fuel‑efficient) and $71,849 (other).

FBT and EV perks tend to follow those LCT thresholds, not the car cost limit—hence the sudden love affair with efficient cars.

Consult official documentation for exact figures.