Australia announces phased changes to FBT electric car exemption

The Australian Government has announced phased changes to the fringe benefits tax (FBT) exemption for electric cars. The update, reported by PwC Australia, signals a shift in how salary packaged EVs will be treated for tax purposes going forward.

Why it matters: Changes to the FBT exemption directly affect the total cost of ownership for fleet EVs, influencing demand for workplace charging infrastructure and shaping procurement decisions by fleet operators and charge point operators serving corporate clients.