In episode 41, the upcoming FBT changes to electric vehicles begin to raise chatter. Many in the business are affected.
Electric vehicles are described as zero or low emissions vehicles. But what is the definition of a hybrid and how do those FBT changes affect existing salary packages?
What is a zero or low emissions vehicle? A zero or low emissions vehicle, which is eligible for the FBT exemption, is defined as:
(a) a battery electric vehicle, or
(b) a hydrogen fuel cell electric vehicle, or
(c) a plug-in hybrid electric vehicle and this exemption is to end 31 March 2025.
However, the exemption will continue to apply if the use of the vehicle was exempt before that date, and there is a financially binding commitment to continue providing private use of the vehicle from that date.
The objective of the exemption is to encourage a greater take up of electric cars.
Regeneration is our commitment.
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