Have you purchased an electric vehicle (EV) that is utilised in your business? If you answer yes, there is some good news on the tax front.

When it comes to EV’s:

  • You do not pay Fringe Benefits Tax
  • You do not pay luxury car tax

Discover more about the EV exemption on the Australian Taxation Office website.

In addition to these EV exemption, there are also the below potential tax deductions available:

  • Electricity used to run the car for business purposes can be claimed as a business expense at a flat rate of 4.2  cents per kilometre.
    (Its always so nice when the ATO gives us a nice simple method we can use!)
  • There may also be deductions for electricity purchased from a commercial charging station, depending on the capabilities of the car.

Find detailed information about these deductions here on the Australian Taxation Office website.

Would you like to know more?

Please don’t hesitate to contact your insightful CGA Advisor today.