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  • Writer's pictureBBDB

Providing benefits to employees for electric cars?

As an employer, you previously needed to pay FBT on electric cars provided to your employees. From 1 July 2022, you will now be exempt from paying FBT on benefits provided for electric cars that meet all the following criteria:

the car is a zero or low emissions vehicle

the first time the car is both held and used is on or after 1 July 2022

the car is used by a current employee or their associates (such as family members)

luxury car tax has never been payable on the importation or sale of the car.

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