Fringe Benefits Tax and EVs - All you need to know
From 1 July 2022, employers do not need to pay fringe benefits tax (FBT) on eligible electric cars and associated car expenses. Unlike other FBT exemptions, employers still need to determine the taxable value of the exempt car benefits to include it in their employee’s reportable fringe benefits amount (RFBA). Employers must report the RFBA on their employee’s income statement or payment summary. Employees should speak to their registered tax agent for advice on the consequences of having a reportable fringe benefits amount.