New legislation before Parliament, if enacted, will make zero or low emission vehicles FBT-Free. We explore who can access the concession and how.
Electric vehicles (EV) represent just under 2% of the new car market in Australia but it is a rapidly growing sector with a 62.3% jump in new EV registrations between 2020 and 2021.
Making EVs FBT-Free is just the first step in the Government’s plan to make zero and low emission vehicles the car of choice for Australians, focusing on affordability and overcoming “range anxiety” by:
It is on this last point, fleet cars, that the FBT exemption on EVs is targeted. In Australia, business account for around 40% of light
vehicle sales according to a research report by Griffith and Monash
However, EV sales to business fleets comprised a mere 0.08% of the market in 2020. The Government can control what it purchases and has
committed to converting its fleet to no-emission vehicles, but for the private sector, there is a wide gap between the total cost of
ownership of EVs and traditional combustion engine vehicles. It’s more expensive overall and the Government is looking to reduce that
impediment through the FBT system.
Our accountants can help you understand the ins and outs of electric vehicles and Fringe Benefits Tax.
As the holiday season approaches, it's crucial to consider how your spending habits may influence especially when it comes to utilising easy credit options.
A budgeting app is an app designed to help you optimise the spending and savings choices you make each month.
We'll dive into some of the everyday mistakes and tricky grouping issues that small businesses often encounter when dealing with payroll tax.