Anita Board lost control of her vehicle at the end of her solo run at Perth Motorplex during the Goldenstates Junior Dragster event and died in Princess Margaret Hospital for Children on Sunday.
The eight year old girl reportedly comes from an experienced local drag racing family.
'Our baby girl is getting the best of care.
Anita Board was taken to hospital with life-threatening injuries and has since died.
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Anita's hopes of qualifying for a junior dragster licence took a bad turn on Saturday, with the eight-year-old's dragster "Pony Power" slamming into a wall at the track.
Hundreds of friends and people from the racing community posted tributes online, some changing their social media profile pictures to the Rainbow Dash character from My Little Pony, which was emblazoned on Anita's 210cc purple dragster called Pony Power.
Police said they would prepare a report for a coroner.
One video shows the girl practising her drag starts out of the family's garage under the watchful eye of her father.
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According to ANDRA, a junior driver must be a minimum of eight years old to obtain a competition licence.
'The Australian National Drag Racing Association is deeply saddened to confirm the passing of Junior Dragster competitor Anita Board following an on track incident during an event held at the Perth Motorplex on the 11th of November, ' the racing organisation said in a statement. "Police are now at the scene and on their advice racing has been suspended until further notice", a spokesperson said.
Mike Sprlyan, of Junior Dragster Australia, told news outlet Perth Now that beginners aged between eight and 17 reached top speeds of about 40-50km/h (25-30mph).
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Anandan, hailing from Brahmakulam, was an accused in a case relating to the murder of a CPM worker in 2013. The police said Anandan's body was shifted to Thrissur medical college hospital.