Electric Car Discount Bill introduced into Parliament The...

Electric Car Discount Bill introduced into Parliament The Government introducedthe Treasury Laws Amendment(Electric Car Discount) Bill 2022into Parliament.
The legislation will amend the Fringe Benefits Tax Assessment Act 1986 to exempt from FBT the use of eligible electric cars made available by employers to employees.
The FBTexemption will apply to battery electric cars, hydrogenfuel cell electric cars and plug in hybrid electric cars.
The exemption will be available for eligible electric cars with a first retail price below the luxury car tax threshold for fuel efficient cars ($84,916 for 2022 23) first made available for use on or after 1 July 2022. If a model valued at about $50,000 is provided by an employer through this arrangement, the fringe benefits tax exemption would save the employer up to $9,000 a year. For individuals using a salary sacrifice arrangement to pay for the same model, their saving would be up to $4,700 a year.
The Government will also introduce changes to remove the five per cent import tariff for eligible electric cars.