Australia’s shift to electric vehicles (EVs) has picked up pace in recent years, and policy has played an important role in making that possible.

One of the most significant drivers has been the Electric Car Discount, which removes fringe benefits tax (FBT) on eligible electric vehicles provided through novated leasing.

The Government is now assessing this legislation ahead of the next budget. Early projections underestimated uptake, and as adoption has accelerated, so too has the cost of the exemption.

Introducing the ‘Keep the EV Tax Discount’ campaign

The National Automotive Leasing and Salary Packaging Association (NALSPA) has recently launched a national campaign encouraging the Government to maintain the policy. The “Keep the EV Tax Discount” campaign aims to highlight the impact the incentive has had on accelerating EV uptake and making them more accessible to everyday Australians.

For many drivers, the discount has helped bridge the affordability gap that can come with newer vehicle technology, reducing the cost of an EV and helping to close the gap between electric and petrol vehicles. The Electric Car Discount has also enabled more organisations to offer electric vehicles as part of their employee benefits programs, helping businesses take practical steps towards reducing staff commute-related emissions.

Learn more about the “Keep the EV Tax Discount” campaign here.