Police allege the man drove straight through the boom gates at the intersection of Epping and Settlement roads, before the car was hit by a passenger train about 3.10am in Thomastown.
The 36-year-old driver along with the passengers from the train, were not injured.
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Police say the man was breath tested at the scene and returned a positive result before returning an evidentiary breath test reading of .113.
It is expected the Doveton man will be charged on summons with drink driving and traffic related offences.