Gross Vehicle Cost

When a quote is accepted the Quotes / Finance Total On Road Price "Total" is copied into this field.

You can validate the value of this field if is set to 'yes'.

The validation logic is as follows:

SET @contract_id = '100000'; SELECT @fm_contract_finance_vehicle_purchase_gross_validate_flag :=SUBSTR(t3.value, LOCATE('"',t3.value)+1, (CHAR_LENGTH(t3.value) - LOCATE('"',REVERSE(t3.value)) - LOCATE('"',t3.value))) FROM gb_controls t3 WHERE t3.name = 'fm_contract_finance_vehicle_purchase_gross_validate_flag'; SELECT @amount_financed_tolerance := MID(t2.value,LOCATE('"',t2.value) + 1, (LENGTH(t2.value) - LOCATE('";',t2.value))) FROM gb_controls t2 WHERE t2.name = 'amount_financed_tolerance'; SELECT @finance_vehicle_purchase_gross := ABS(finance_vehicle_purchase_gross) FROM fm_contracts WHERE contract_id = @contract_id; SELECT @vehicle_purchase_net_entered_in_contract := 50000.00 - 5000.00; SELECT @vehicle_purchase_net_calculated := ABS(amount_financed - establishment_fee - redundancy_collected - gap_insurance_collected - total_brokerage) FROM fm_contracts WHERE contract_id = @contract_id; SELECT @vehicle_purchase_net_difference := ABS(@vehicle_purchase_net_entered_in_contract - @vehicle_purchase_net_calculated); SELECT amount_financed , establishment_fee , redundancy_collected , gap_insurance_collected ,total_brokerage FROM fm_contracts WHERE contract_id = @contract_id; SELECT @contract_id, @fm_contract_finance_vehicle_purchase_gross_validate_flag, @vehicle_purchase_net_entered_in_contract, @finance_vehicle_purchase_gross AS 'Value saved in Contract', @vehicle_purchase_net_calculated, @vehicle_purchase_net_difference -- 'Gross Vehicle Cost/Claimable GST', @amount_financed_tolerance AS amount_financed_tolerance, IF(@fm_contract_finance_vehicle_purchase_gross_validate_flag = 'no' OR @finance_vehicle_purchase_gross > 0, '(Not Validated)', IF(@vehicle_purchase_net_difference > @amount_financed_tolerance , 'Gross Vehicle Cost/Claimable GST is incorrect. Please recheck.' , '(No Error)')) AS 'validation error'; 

Please also refer to the Gross Vehicle Cost model.

Luxury Car Tax

Quotes / Vehicle "Luxury Car Tax" is calculated when a quote is created or a re-calculation is trigged by changes. It becomes part of the vehicle's "Total On Road Price" and "FBT Value". You can edit the amount and it can be locked to prevent re-calculation.

The calculation is only done if both of the following conditions are met:

• 'New' or 'Demonstrator' is chosen for the "New or Used" field list.

• The selected Vehicle Type is not classified as a commercial vehicle (see notes below).

To understand the controls and the calculation in detail, open the Luxury Car Tax Calculations spreadsheet.

Also visit the LCT Limits page to see the current control values that are used in the calculations.

Luxury Car Tax is different than Luxury Car Charge. For details about Luxury Car Charge please visit the Luxury Car Charge page.

Base Price

The Base Price applied in the LCT calculation is affected by a a number of variables. Open the Luxury Car Tax Calculations spreadsheet to trace through the variables that apply.

The calculated Base Price is also a factor in determining if a vehicle is eligible to use the FBT Treatment Type of 'EV Exempt - Reportable'.

A clarification about the application of dealer discounts was made by the ATO and Supreme court late 2013 / early 2014. This ruling excludes dealer discounts from the base value when calculating LCT.

Fleet Discount, Confidential Rebate, Dealer Rebate and Bonus values do not contribute to the LCT Base Price calculation.

Controls

Two controls enable you to set a preferences for calculating the LCT Base Price.

• Choose if "Dealer Discount" is included or excluded from the LCT Base Price.

• Choose if Aftermarket Options are included or excluded from the LCT Base Price.

How to Identify a Commercial Vehicle

Commercial vehicles have the value of 'LC' in the "Vehicle Type" field of their variant profile record. You can find this in the Quotes / Vehicle Specification section.

This is stored in the system as and is also used in the calculation for Purc. Stamp Duty for NSW.

Are Commercial Vehicles Exempt?

Variants are linked to a table that identifies if they are exempt or not. Scheduled updates create these records based on standard business rules.

Variants with a vehicle type of 'LC' are normally set to be exempt. I.e. = 'yes'.

This flag is also used in the calculation of applicable Luxury Car Charge on the quote PDF.

If you want to change the update rules or the setting for a particular variant, contact your Account Manager.

Vehicle Type Classification

The classification of the "Vehicle Type" of each variant by your data provider may not be consistent here. E.g. Toyota Land cruisers can sometimes be mis-classified.

Note that when importing new variant data the following list prices business rules are applied:

• RedBook import: listpricenet and listpricegst are provided by RedBook.

• Glasses import: listpricegross is supplied by Glasses. Listpricenet and listpricegst are calculated using the gb_controls above. Note that weekly Glasses data files do no include the fuel consumption rates so only the non fuel efficient vehicle calculation can be done in this case. Monthly data files include the fuel consumption rates allowing the fuel efficient calculation to be performed.

Service Profile Creation and Timing

• If a quote is created before the vehicle profile is created, then LCT will be calculated. I.e. is set to 'no' because there was no variant profile to "tell" it otherwise.

• If a quote's effective date is before the vehicle profile creation date, then LCT will be calculated. I.e. ** is set to 'no' because there was the variant profile is outside the valid date parameters.

Luxury Car Charge

Luxury Car Charge (LCC) can be used in your quote pdf to provide a complete summary of a driver's salary effects and/or payroll calculations.

These calculations can be affected when you use "Months Deferred" in your quotes.

LCC can be incurred even if a car does not attract a Luxury Car Tax.

The requirements for LCC can be found in the ATO publication / Guide to depreciating assets 2018 (or later iterations of this). The 'charge' is related to tax deductions for leases and applies to company tax paying entities only.

Calculation

To see the calculations in detail, review the diminishing value calculator and the prime cost calculator models.

Also visit the LCT Limits page to see the current control values that are used in the calculations.

Vehicle Types that are lct_exempt are excluded.

Luxury Car Charge is different than Luxury Car Tax. For details about Luxury Car Tax please visit the Luxury Car Tax page.

Quote Variables

Quotes / Finance

The field "Luxury Car Charge" is stored on the bottom left of the screen and populates with the calculated LCC amount for the quote. If using LCC in your quote pdf, this is the value that will be displayed.

By default, this field can only be edited by 'admin' users. This is a role restriction, so other roles can be given access if required.

Clients / Contact

Some Employers may qualify for a different Company Tax Rate. See ATO Company Tax Rates. These Employers Company Tax Rate should be stored in the Company Tax Rate field.

If the Company Tax Rate field is populated (non-zero) it will be used in the Luxury Car Charge calculation (both methods). If this rate is zero the the calculations will use the Global Control 'Company Tax Rate'.

Clients / Quote Defaults

If configured, you can use the "Luxury Charge Applied" check box to remove the Luxury Car Charge from your quote PDF.

This requires client-specific development, so contact your Account Manager if you want to use this feature.

If a client wants to check and confirm any quotes that have an LCC amount and obligation before proceeding, this can be done by using the "Luxury Charge Event" check box.

Global Controls

Setup / Reference Data → gb_controls

The Basis can be the FBT Amount (from the quote FBT Value) BUT this method should only be used if the Operating Cost method for FBT is NOT used.

Luxury Charge Event

When accepting a quote:

• If the Clients / Quote Defaults "Luxury Charge Event" field is checked AND

• the Quotes / Finance "Luxury Car Charge" is greater than 0.00 AND

• an active Quotes / Events Luxury Charge Event has not been created for this quote

users will be alerted: "Quote cannot be accepted until client confirms the "Luxury Car Charge". Create a Luxury Charge Event to record client confirmation and try again."

Renaming

This field can be renamed.