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Good news for Australians interested in low-cost electric vehicles: the luxury car tax threshold has been raised for the new financial year! Supporting both the environment and Australians’ wallets, the federal government introduced a law last year exempting electric vehicles priced under the luxury car tax threshold from paying fringe benefits tax (FBT). This means that electric vehicles could now be found to be much more affordable, depending on the car and your individual situation. This article will explore the 2023 luxury car tax threshold and introduce four newly eligible models that offer a compelling combination of performance, range, and affordability.
What is the 2023 luxury car tax threshold?
The luxury car tax threshold for the 23/24 financial year is now set at $89,332. This threshold determines the maximum value at which a car is exempt from the luxury car tax (LCT). Any vehicle with an LCT value exceeding this threshold attracts an LCT rate of 33%. The increase in the luxury car threshold for 2023 opens up new opportunities for working Australians to explore a wider range of electric vehicles without incurring additional taxes.
What was the 2022 luxury car tax threshold?
The car models now available
Tesla Model 3 Performance
| Tesla | Model 3 | Model 3 Long Range | Model 3 Performance |
|---|---|---|---|
| Range | 491 km | 602 km | 547 km |
| Battery | 50 kWh | 82 kWh | 82 kWh |
| Acceleration | 6.1 s | 4.4 s | 3.3 s |
| Power | ~208kW | ~366k | ~377kW |
| Torque | 375 Nm | 510 Nm | 640 Nm |
| Drive-train | Rear Wheel | Dual motor all-wheel | Dual motor all-wheel |
| Price | $61,300 | $74,300 | 87,300 |
The Tesla Model 3 Performance, priced at $87,300, is now eligible for the electric car discount. With an impressive acceleration of 3.3 seconds from 0 to 100 km/h, a big step up from the base model’s 6.1 seconds, the Model 3 Performance delivers an exhilarating drive.
With the Tesla Model 3’s sleek design and signature glass roof, this electric marvel not only delivers exhilarating acceleration but also immerses passengers in a bright and spacious environment, seamlessly connecting them with the world outside the car. - Justin Miller, Flare EV Expert
See how Melbourne driver Danny was able to get a brand new Tesla earlier this year:
Mercedes-Benz EQB
| Mercedes-Benz | EQB 250 Auto | EQB 350 Auto |
|---|---|---|
| Range | 507 km | 445 km |
| Battery | 66.5 kWh | 66.5 kWh |
| Acceleration | 9.2 s | 6.2 s |
| Power | ~140 kW | ~215 kW |
| Torque | 385 Nm | 520 Nm |
| Drive-train | Front Wheel | Four Wheel |
| Price | $87,800 | $106,700 |
The EQB’s large load compartment provides ample room for all your belongings, and with the ability to fold and slide the rear seats, it offers unmatched adaptability. Families will appreciate the four ISOFIX child seat holders, ensuring the utmost safety and convenience for our littlest passengers.
Kia EV6
| Kia | EV6 | EV6 GT-Line | EV6 GT-Line | EV6 GT |
|---|---|---|---|---|
| Range | 528 km | 504 km | 484 km | 424 km |
| Battery | 77.4 kWh | 77.4 kWh | 77.4 kWh | 77.4 kWh |
| Acceleration | 7.3 s | 7.3 s | 5.2 s | 3.5 s |
| Power | 168 kW | 168 kW | 239 kW | 430 kW |
| Torque | 350 Nm | 350 Nm | 605 Nm | 740 Nm |
| Drive-train | Rear wheel | Rear wheel | All wheel | All wheel |
| Price | $72,590 | $79,590 | $87,590 | $99,590 |
The Kia EV6’s combined cluster and infotainment display takes the driving experience to a whole new level, offering a seamless and immersive interface that keeps you connected and in control. Get ready to embark on a journey of innovation and connectivity with the Kia EV6, where every drive becomes a captivating and immersive experience.
Hyundai Ioniq 6
| Hyundai | Ioniq 6 Dynamiq | Ioniq 6 Techniq | Ioniq 6 Epiq |
|---|---|---|---|
| Battery | 77.4 kWh | 77.4 kWh | 77.4 kWh |
| Acceleration | 7.4 s | 5.1 s | 5.1 s |
| Power | 168 kW | 239 kW | 239 kW |
| Torque | 350Nm | 605Nm | 605Nm |
| Drive-train | Rear wheel | All wheel | All wheel |
| Price | $74,000 | $83,500 | $88,000 |
The Epiq's ultra-fast charging capabilities are truly remarkable, allowing you to gain an incredible 100km of range from just a 5-minute charge. Say goodbye to range anxiety and embrace the freedom of seamless charging. With the Hyundai Ioniq Epiq, every journey becomes a fast and exhilarating adventure.
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