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A Brisbane man who died after crashing his car in the Targa Tasmania rally was an experienced driver and regular competitor.

The 59-year-old's death on Wednesday afternoon comes after three people were killed in crashes at last year's event, prompting widespread changes aimed at improving safety.

His car travelled 20 metres down a steep embankment on a remote section of road at Mount Roland in the state's northwest.

The man's wife, who was his passenger, walked away from the crash and was taken to hospital for observation.

Targa Tasmania CEO Mark Perry said it was "shattering news".

"We lose a close member of the Targa family, a long-term, regular competitor of ours," he told reporters on Wednesday night.

"It's hard to put words to it for us right now, after last year and all the work we've done.

"After the 90-minute briefing we gave everyone the other day ... we swing towards devastation.

"We're totally devastated given we worked so hard to improve the event from last year."

Mr Perry said the pair were in the final stage of the event's second day and were one of the last few cars on course.

"It's a long-term stage for us, not new, it's not unfamiliar to any of the competitors, particularly this crew, they've done many events with us before," he said.

Tasmania Police crash investigators will return to the scene on Thursday to obtain photos and information.

Emergency services worked into Wednesday night to remove the man's body from the wreckage.

"I'm told the road was wet but it wasn't raining at the time," Tasmania Police Inspector Darren Hopkins said.

"(We have) no idea at this stage (about the cause). It could even be a medical condition."

Mr Perry said officials would meet to decide whether 500 cars can continue the event's 30th edition, which is due to finish in Hobart on Sunday.

Shane Navin, Leigh Mundy and Dennis Neagle lost their lives in two crashes during last year's Targa Tasmania, prompting an investigatory tribunal to be established.

It made 23 recommendations for future tarmac rallies, including speed limits, altering stages year-by-year to avoid complacency and a tiered licensing system.

Seventeen of those have been adopted by rally organisers, with six the responsibility of Motorsport Australia to implement.

© AAP 2022