Make the move to electric vehicles
Electric Vehicles are now more affordable than ever
The Government has passed the Treasury Laws Amendment (Electric Car Discount) Bill 20221 to exempt (non-luxury) electric cars (including battery electric cars and hydrogen fuel cell electric cars) from Fringe Benefits Tax.
The exemption applies to battery electric cars and hydrogen fuel cell electric cars acquired via a Novated Lease, priced below the luxury car tax threshold ($91,387 for the 2024-25 income year) that are purchased on or after 1 July 2022.
Choose from a range of vehicles for your Novated Lease
- Plug-in Hybrid Electric Vehicle Select to filter
- Full Electric Select to filter
- All Vehicles Select to filter
Tesla
Model 3
MY25 Rear-Wheel Drive 4 door Sedan (5 seat) (188kw) 1spd Automatic RWD Electric
Weekly salary impact from $196.02*
Volvo
EX30
MY24 Single Motor Extended Plus 5 door SUV (5 seat) (200kw) 1spd Automatic RWD Electric
Weekly salary impact from $292.42*
Volvo
EX40
MY25 Ultra Twin Motor 5 door SUV (5 seat) (300kw) 1spd Automatic 4WD Electric
Weekly salary impact from $275.77*
Geely
EX5
MY25 BEV 60.2kWh Inspire 5 door SUV (5 seat) (160kw) 1spd Automatic FWD Electric
Weekly salary impact from $174.13*
Tesla
Model Y
MY25 Rear-Wheel Drive 5 door SUV (5 seat) (188kw) 1spd Automatic RWD Electric
Weekly salary impact from $216.25*
BYD
Sealion 6
MY25 T DM-I Essential Auto SA3 5 door SUV (5 seat) 1.5L (160kw) 1spd Automatic FWD PULP
Weekly salary impact $220.86*
BYD
Sealion 7
MY25 Premium 5 door SUV (5 seat) (230kw) 1spd Automatic RWD Electric
Weekly salary impact $201.70*
BYD
Atto 3
MY25 Atto 3 Essential SC2E 5 door SUV (5 seat) (150kw) 1spd Automatic FWD Electric
Weekly salary impact $156.06*
Polestar
2
MY25 Standard range Single motor 534 5 door Hatchback (5 seat) (200kw) 1spd Automatic RWD Electric
Weekly salary impact from $183.80*
Toyota
RAV4
MY23 Hybrid GX E-CVT AXAH52R 5 door SUV (5 seat) 2.5L (160kw) 9spd CVT with Manual FWD ULP
Weekly salary impact $230.65*
Mitsubishi
Eclipse Cross
MY24 Plug-in Hybrid EV ES AWD YB 5 door SUV (5 seat) 2.4L (157kw) 1spd Automatic 4WD ULP
Weekly salary impact $234.91*
*Offer available through a novated lease with ORIX on vehicles ordered between 01/06/25 – 30/06/25. The vehicles are subject to availability, state fees and manufacturer price changes. Standard delivery times apply. Actual vehicle may vary from the pictured model. Weekly salary impact is based on a four-year lease term with 60,000km travelled annually, BYD Sealion 7 based on 15000km travelled annually for delivery in New South Wales. Weekly salary impact is the effect on take-home pay (GST not applicable) with an annual gross salary of $100,000.
[1] Source: https://www.aph.gov.au/Parliamentary_Business/Bills_Legislation/Bills_Search_Results/Result?bId=r6876
It is intended to provide general information about our products and services. This information is correct at the time of publication but may change without notice. The contents do not constitute financial or taxation advice and should not be relied upon as such. The calculations use a number of assumptions (including that the employee has no other existing salary packaged item) to provide an estimate of the Novated Lease cost and the potential savings from entering into such a lease which are set out in ORIX’s Terms & Conditions. Conditions and charges apply for all optional extras. These are estimated maximum percentage savings to be used as a guide only and will vary according to each specific employee Novated Lease. Fleet discounts will depend on vehicle and product type and can change without notice. June 2023.
Make a move to electric now
Your guide to the Fringe Benefits Tax (FBT) Exemption for Electric Vehicles (EVs) in Australia
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FAQs
The Bill defines a ‘zero or low emissions vehicle’ (“Eligible Vehicle”) as:
- A battery electric vehicle or;
- A hydrogen fuel cell electric vehicle
Note: A Hybrid vehicle (non-plug in) such as Toyota Prius is not eligible for FBT exemption.
The Bill applies to all Eligible Vehicles first held and used on or after 1 July 2022. This is described as the first retail sale being on or after this date.
The explanatory memorandum to the Bill notes the following:
- Second-hand electric cars may qualify for the exemption only if the car was first purchased new on or after 1 July 2022; and
- The exemption could apply to electric cars ordered prior to 1 July 2022 but not delivered until after 1 July 2022 (even if the employer acquired legal title to the car prior to 1 July 2022).
Request a quote
Talk to an ORIX Novated Specialists to learn how you can buy an eligible electric vehicle with a Novated lease and save on costs.
