Electric car discount: the top 10 EVs that qualify in Australia
Even better news, the Australian Government has now removed fringe benefits tax (FBT) on eligible electric cars. With the recently introduced law, electric vehicles with an RRP under $89,332 are exempt from the 47% fringe benefits tax if provided through a novated lease. This could save you $4,700 per year on average using a $50,000 model as an example.
Here’s the breakdown of the discount schemes price caps:
- Queensland: $58,000
- Victoria: $68,740
- New South Wales: $68,750
- South Australia: $68,750
- Western Australia: $70,000
- FBT exemption: $89,332
Here is the list:
- Hyundai Kona
- BYD Atto 3
- MG ZS
- Mini EV
- Tesla Model 3
- Polestar 2
- KIA Niro
- Tesla Model Y
- Hyundai Ioniq 5
- KIA EV6
1. Hyundai Kona
Hyundai is well known for being playful, confident, sporty and practical — the Kona EVdelivers on all of these attributes.
Price: Starting at $29,490.
| Kona | Active | Elite | N Line | Highlander | N Line Premium | |
|---|---|---|---|---|---|---|
| Price* | $29,490 | $32,173 | $35,675 | $41,000 | $42,267 | $47,316 |
| FBT exempt through a Novated Lease | ✔️ | ✔️ | ✔️ | ✔️ | ✔️ | ✔️ |
| QLD Incentive | ✔️ | ✔️ | ✔️ | ✔️ | ✔️ | ✔️ |
| VIC Incentive | ✔️ | ✔️ | ✔️ | ✔️ | ✔️ | ✔️ |
| NSW Incentive | ✔️ | ✔️ | ✔️ | ✔️ | ✔️ | ✔️ |
| WA Incentive | ✔️ | ✔️ | ✔️ | ✔️ | ✔️ | ✔️ |
| SA Incentive | ✔️ | ✔️ | ✔️ | ✔️ | ✔️ | ✔️ |
Discount
Features / performance
- Wireless smartphone charging pad
- 10.25” Multimedia touch screen display
- Hyundai Smart Sense safety features
- Heads-up display
- LED day and night lights
- Five-year/unlimited-kilometre warranty
- 12 Months roadside assistance
Range
2. BYD Atto 3
The BYD Atto 3 is desirable in design, powerful in performance and souped up with safety features. It boasts 7 SRS airbags and, with 1,330 litres of boot space and power-adjusted seats, makes travelling comfortable for the entire family.
Price: Starting at $44,381.
| Standard | Extended | |
|---|---|---|
| Price* | $44,381 | $47,381 |
| FBT exempt through a Novated Lease | ✔️ | ✔️ |
| QLD Incentive | ✔️ | ✔️ |
| VIC Incentive | ✔️ | ✔️ |
| NSW Incentive | ✔️ | ✔️ |
| WA Incentive | ✔️ | ✔️ |
| SA Incentive | ✔️ | ✔️ |
Discount
Second most affordable on our list, the BYD Atto 3 sails through all of the state and territory price caps and qualifies for FBT exemption. You can even upgrade to the paint of your choice for $700.
Features / performance
- 220v Emergency charging cable included
- 8 year/160,000 km battery warranty
- 6 year/150,000 km vehicle warranty
- Automatic emergency braking system
- Electric panoramic sunroof
- 8 Speakers Dirac Sound System
- 12.8” Intelligent touch screen display
Range
The BYD Atto 3 has a driving range of up to 480 km, which is impressive.
3. MG ZS
The MG ZSfalls within Australia’s top 3 cheapest EVs. But don’t be fooled, the lower price doesn’t mean you’ll miss out on design and features. This midsize SUV is comfortable, smart and has an appealing new look.
Price: Starting at $45,690.
| EV Excite | EV Essence | |
|---|---|---|
| Price* | $45,690 | $46,690 |
| FBT exempt through a Novated Lease | ✔️ | ✔️ |
| QLD Incentive | ✔️ | ✔️ |
| VIC Incentive | ✔️ | ✔️ |
| NSW Incentive | ✔️ | ✔️ |
| WA Incentive | ✔️ | ✔️ |
| SA Incentive | ✔️ | ✔️ |
Discount
Drive away with the EV Excite for $45,690 or the EV Essence for $49,690 — you’ll qualify for a discount in all states and territories.
Features / performance
- Three driving modes and three regenerative braking modes
- MG Pilot driver safety technology
- Push button start
- LED daytime running lights
- 360 View camera
Range
The MG ZS enjoys 320 km of driving range (WLTP), a middle-of-the-road driving range when compared to its main competitors.
4. Mini EV
The Mini EV still embodies the iconic design that we all know and love, but it stands out from the crowd in the EV sphere thanks to its small size. If you’ve got an urban lifestyle, the Mini EV is perfect for zipping around the city.
Price: Starting at $61,499.
| Classic | Mini Yours | Resolute Edition | |
|---|---|---|---|
| Price* | $61,499 | $69,601 | $69,968 |
| FBT exempt through a Novated Lease | ✔️ | ✔️ | ✔️ |
| QLD Incentive | ❌ | ❌ | ❌ |
| VIC Incentive | ✔️ | ❌ | ❌ |
| NSW Incentive | ✔️ | ❌ | ❌ |
| WA Incentive | ✔️ | ✔️ | ✔️ |
| SA Incentive | ✔️ | ❌ | ❌ |
Discount
The Mini EV comes in three different models, which enables you to tailor your EV to your preferences. Choose from paint, wheel types, leather interiors and more. The Mini Classic model is the most accessible option coming in under the price caps across most states, with the Mini Yours and Resolute Edition only being available at a discounted rate in WA or under the FBT novated lease exemption.
Features / performance
- Three-year unlimited warranty
- Battery warranty for eight years/160,000km
- Digital instrument cluster — a 5.5” screen positioned conveniently behind the steering wheel
Range
The Mini EV has a slightly shorter range of 233 km (WLTP) when compared to its EV competitors. It charges to 80% in 36 minutes. The battery is positioned under the vehicle’s floor making the centre of gravity even lower than a petrol-powered MINI. This means enhanced stability at every bend.
5. Tesla Model 3
We’ve all heard of Tesla, but the Tesla Model 3 has been named Australia’s most popular EV. It’s fully electric, sleek, tech-forward and puts safety first. It comes in three variations: the entry-level Rear-Wheel Drive, mid-spec Long Range and Top-Spec Performance.
Price: Starting at $65,500.
| Rear Wheel Drive | Long Range | |
|---|---|---|
| Price* | $65,500 | $80,000 |
| FBT exempt through a Novated Lease | ✔️ | ✔️ |
| QLD Incentive | ❌ | ❌ |
| VIC Incentive | ✔️ | ❌ |
| NSW Incentive | ✔️ | ❌ |
| WA Incentive | ✔️ | ❌ |
| SA Incentive | ✔️ | ❌ |
Discount
The Tesla Model 3 Rear Wheel Drive qualifies for all state subsidy/rebate schemes bar Queensland. In some states, you can even add in optional premium paint for $1,500. Don’t forget to add on the dealer delivery fee starting at $1,375.
Want to get your hands on the Model 3 Long Range? Then the FBT exemption will be your friend.
Features / performance
- Battery cover for eight years/240,000 km
- 0-100 km/h in 3.3 seconds
- 15-inch touch screen display
- Four year/80,000 km warranty
- Dual motor all-wheel-drive and performance brakes for control in all weather conditions available as optional
Range
The Tesla 3 sports 547 km of driving range (WLTP) and you can recharge up to 299 km in just 15 minutes at Tesla’s Supercharger locations.
6. Polestar 2
A new EV on the market, the Polestar 2 launched in Australia earlier this year. Its minimalistic design, including stylish, frameless mirrors and a glorious panoramic roof, paired with its powerful drive, make it a desirable EV.
Price: Starting from $67,440.47.
| Standard Range Single Motor | Long Range Single Motor | Long Range Dual Motor | |
|---|---|---|---|
| Price* | $67,440 | $71,940 | $76,940 |
| FBT exempt through a Novated Lease | ✔️ | ✔️ | ✔️ |
| QLD Incentive | ❌ | ❌ | ❌ |
| VIC Incentive | ✔️ | ❌ | ❌ |
| NSW Incentive | ✔️ | ❌ | ❌ |
| WA Incentive | ✔️ | ❌ | ❌ |
| SA Incentive | ✔️ | ❌ | ❌ |
Discount
If you go for the standard range model, you can still qualify for a discount in some states if you add optional extras, such as a premium paint pack ($1,500) and 20-inch five-spoke alloy wheels ($1,400). With the FBT novated lease exemption, you can also upgrade to a panoramic glass roof, 360-degree camera and forged alloy wheels.
Features / performance
- Five year warranty
- Five year complimentary roadside assistance and servicing
- 0-60 km/h in seven seconds
- Impressive safety features that include lane keeping aid and post impact braking
- Built-in Android operating system
Range
The Polestar 2 enjoys a range of 477 km (WLTP) and powers up to 228bhp.
7. Kia Niro
Modern in design, with technology and safety at its forefront, the Kia Niro is new to the market. It has all the space you’d hope for in an SUV but doesn’t compromise on style and luxury.
Price: Starting at $70,780.75.
| S | GT Line | |
|---|---|---|
| Price* | $70,780 | $77,920 |
| FBT exempt through a Novated Lease | ✔️ | ✔️ |
| QLD Incentive | ❌ | ❌ |
| VIC Incentive | ❌ | ❌ |
| NSW Incentive | ❌ | ❌ |
| WA Incentive | ❌ | ❌ |
| SA Incentive | ❌ | ❌ |
Discount
The Kia Niro S and GT Line are eligible for the FBT novated lease exemption only. You can choose your favourite car colour for an extra $520.
Features / performance
- Dual 10.25” display including Bluetooth and Apple CarPlay
- Heated and ventilated front seats
- Remote Smart Parking Assist
- 150kW of power and 55 Nm torque
Range
The Kia Niro has a range of 460 km (WLTP).
8. Tesla Model Y
The Tesla Model Y not only looks sexy, it’s also practical. With ample space for five adults and 261 litres of storage it also exhibits top of the range safety features.
Price: Starting at $72,300.
| Model Y | |
|---|---|
| Price* | $72,300 |
| FBT exempt through a Novated Lease | ✔️ |
| QLD Incentive | ❌ |
| VIC Incentive | ❌ |
| NSW Incentive | ❌ |
| WA Incentive | ❌ |
| SA Incentive | ❌ |
Discount
The more expensive EV Tesla Model Y doesn’t qualify for any local government schemes, but can be purchased under the FBT novated lease exemption. You’ll even have some spare change to upgrade to premium paint, black and white interior, 20” induction wheels or enhanced autopilot.
Features / performance
- Two ultra-responsive, independent electric motors that digitally control torque to the front and rear wheels
- Zero to 100 km/hr in 3.7 seconds
- 15” Touchscreen display
- Expansive glass roof with UV protection
- 5-star ANCAP safety rating
Range
The Tesla Model Y boasts an impressive 514 km range (WLTP), perfect for longer journeys. Recharge up to 261 km in just 15 minutes at Tesla Supercharger stations.
9. Hyundai Ioniq 5
Hyundai has recently launched in Australia the 2021 ‘Car of the Year’ winner, the all-electric Ioniq 5. With its distinct and futuristic design, sustainable materials used throughout and many gizmos and gadgets, it’s already making waves in the country.
Price: Starting at $74,529.
| Ioniq 5 | |
|---|---|
| Price* | $74,529 |
| FBT exempt through a Novated Lease | ✔️ |
| QLD Incentive | ❌ |
| VIC Incentive | ❌ |
| NSW Incentive | ❌ |
| WA Incentive | ❌ |
| SA Incentive | ❌ |
Discount
Priced at over $70,000, this EV is not eligible for state and territory discount, but does qualify for FBT exemption through novated leasing.
Features / performance
- 77.4kWh battery
- Parametric LED headlights using cubic pixels to light up the roads
- Memory seating with relaxation mode options
- Hyundai Smartsense safety features
Range
454 km-507 km (WLTP) of range and 10% to 80% charge time in only 18 minutes.
10. Kia EV6
Here we have a multi award-winner! The Kia EV6 has been named ‘Wheels Car of the Year 2022’ and 2022 ‘Carsales Car of The Year’. This EV combines all of Kia’s advanced automotive expertise into a fully electric and stylish SUV. Plus, the EV6 is the first fully electric vehicle to go through Kia Australia’s Local Ride and Handling program, meaning it’s truly made to drive on Aussie roads.
Price: Starting at $78,435.25.
| EV6 Air | |
|---|---|
| Price* | $78,435 |
| FBT exempt through a Novated Lease | ✔️ |
| QLD Incentive | ❌ |
| VIC Incentive | ❌ |
| NSW Incentive | ❌ |
| WA Incentive | ❌ |
| SA Incentive | ❌ |
Discount
With prices starting at the higher end of the EV scale, the Kia EV6 Air can be purchased under the FBT scheme only. You’ll also have some leftover budget to pick the colour of your car for an extra $520.
Features / performance
- Aerodynamic design
- Recycled materials used in the interior
- Augmented reality heads up display
- Heated steering wheel
- Remote Smart Parking Assist
Range
The Kia EV6 has a range of 528 km (WLTP) and a 77.4kWh battery.
There you have it!
As promised, we’ve helped you make sense of the schemes and incentives available in Australia and shown you some electric vehicles eligible for a discount.
The good news is that the $89,332 federal government FBT exemption cap is higher than all states’ price ceilings. This not only expands the pool of EVs eligible for a discount, but gives you yet another benefit when choosing novated leasing for your EV.
Do you still have questions? Or maybe you’d like help sourcing your new car, negotiating the price and organising a test drive? You might also love to have the support of a car expert who negotiates on your behalf and secures the best EV deals for you. And while you’re at it, why not enjoy significant tax savings and no GST on your car purchase, electricity mileage, servicing and maintenance?
You’ll get all of this and more when you sign up to an EV Novated Leasing with Flare.
Want to find out more? Just ask a Flare expert
