Deals & Incentives
Federal and state governments offer incentives to encourage Australians to switch to electric vehicles. Below is a summary of current and past programs across all jurisdictions.
Last verified: 2026-09-25. Incentives change — always confirm with the official source before making purchasing decisions.
Run the numbers — TCO calculator
See the 5-year cost of any EV against an equivalent petrol car using your own km, electricity rate and fuel price. Includes breakeven year and FBT-exemption bonus where eligible.
Calculate Your FBT Savings
Browse FBT-eligible EVs under the $91,661 threshold and see how much you could save with a novated lease.
Federal Government
FBT Exemption for Electric Vehicles
Battery electric and hydrogen fuel cell vehicles below the luxury car tax limit for fuel-efficient cars are exempt from Fringe Benefits Tax (FBT) when salary-packaged. In the 2026-27 Budget (5 May 2026) the Government announced a phased wind-back, which is not yet law: the full exemption continues unchanged until 31 March 2027; if legislated as announced, from 1 April 2027 it applies only to EVs valued at $75,000 or less, with a 25% discount on FBT for EVs between that cap and the LCT threshold; from 1 April 2029 all EVs under the threshold receive the 25% discount instead of a full exemption. Existing leases won't be affected by these changes. PHEVs were removed from the exemption from 1 April 2025.
- Eligibility:
- Battery electric and hydrogen fuel cell vehicles with a value at first retail sale below $91,661 (fuel-efficient car LCT threshold). Full exemption to 31 Mar 2027; announced (not yet law): $75,000 cap for full exemption from 1 Apr 2027; 25% discount only from 1 Apr 2029. PHEVs no longer eligible.
- Value:
- Up to ~$18,000 per year in tax savings depending on vehicle value and tax rate (falls to ~25% of that once the discount phase applies to your car)
Instant Asset Write-Off (Small Business)
Small businesses (aggregated turnover under $10 million) can immediately deduct the full cost of each eligible asset costing less than $20,000, including a business-use vehicle, in the year it is first used or installed ready for use. The $20,000 limit was made permanent from 1 July 2026. Most new EVs cost more than this, so they don't qualify for the instant write-off; they can instead go into the small business depreciation pool (15% in the first year, 30% a year after).
- Eligibility:
- Small businesses with aggregated turnover under $10 million using the simplified depreciation rules. The asset must cost less than $20,000 and be first used or installed ready for use in the income year.
- Value:
- Full deduction for assets under $20,000 (most new EVs exceed this; pool depreciation applies instead)
Upcoming Changes
The full FBT exemption for electric vehicles continues until 31 March 2027. The Government announced a phased wind-back in the 2026-27 Budget, which is not yet law. If legislated as announced, from 1 April 2027 it applies only to EVs valued at $75,000 or less, with a 25% FBT discount for EVs between that cap and the $91,661 threshold; from 1 April 2029 all eligible EVs get the 25% discount instead. Existing leases won't be affected, so if you're considering a novated lease on an EV above $75,000, acting before 1 April 2027 may lock in the full benefit.
States & Territories
New South Wales (NSW)
The NSW stamp duty exemption for battery electric vehicles ran from 1 September 2021 and ended on 31 December 2023. Buyers who purchased or placed a deposit before 1 January 2024 may still apply for a refund via Revenue NSW. The previously legislated exemption for all EVs from 1 July 2027 (or when EVs reached 30% of new sales) was repealed at the same time and will not go ahead.
The $3,000 rebate for battery electric vehicles with a dutiable value under $68,750 ended on 31 December 2023. Buyers who purchased or paid a deposit on an eligible EV before 1 January 2024 can still apply, even if the car was delivered later.
Part of NSW's $110M EV Strategy, the EV Fleets Incentive supports businesses transitioning their vehicle fleets to electric. Two funding streams: Kick-start funding for smaller fleets (up to 15 EVs) has been extended to close on 30 November 2026 and increased from $5 million to $9 million — the full allocation was committed by 3 August 2026, so new applicants join a waitlist. Competitive bid funding for larger fleets is open for Round 7, with initial bidding closing 16 October 2026. Not available to private buyers.
Victoria (VIC)
Victoria's Zero and Low Emission Vehicle Distance-based Charge, a per-kilometre charge on electric, hydrogen and plug-in hybrid vehicles, was struck down by the High Court on 18 October 2023 (Vanderstock v Victoria) as an unconstitutional excise. The charge is no longer collected.
Victoria's $3,000 subsidy for new zero-emission vehicles under $68,740 closed on 30 June 2023, after helping more than 10,000 Victorians buy an EV.
Queensland (QLD)
Queensland charges electric and hybrid light vehicles the lowest vehicle registration duty rate: $2 per $100 of dutiable value up to $100,000 (then $4 per $100), compared with $3–$4 per $100 for petrol and diesel vehicles depending on the number of cylinders.
Queensland sets registration fees by engine cylinders, and electric vehicles sit in the cheapest band (1, 2 or 3 cylinders, electric or steam). From 1 July 2026 the 12-month registration fee is $303.10, compared with $385.45 for a 4-cylinder, $610.30 for a 5–6 cylinder and $854.70 for a 7–8 cylinder car. The traffic improvement fee and CTP insurance are the same for all of these.
Queensland's Zero Emission Vehicle Rebate Scheme offered up to $6,000 for eligible new battery electric vehicles (BEVs only) purchased from 16 March 2022. The $45 million scheme closed to new applications at 11:59pm on 2 September 2024 after funding was exhausted.
South Australia (SA)
South Australia's $3,000 subsidy for eligible new battery electric and hydrogen fuel cell vehicles first registered from 28 October 2021 ended on 1 January 2024. Buyers with a binding contract signed before then could still claim until 31 December 2024. Stamp duty was always payable on EVs in SA — there was no stamp duty exemption.
South Australia's three-year registration fee exemption applied to eligible new battery electric and hydrogen fuel cell vehicles valued below $68,750 and first registered between 28 October 2021 and 30 June 2025. Vehicles first registered on or after 1 July 2025 receive no registration exemption. CTP insurance, the Emergency Services Levy and stamp duty were still payable.
Western Australia (WA)
Western Australia's Zero Emission Vehicle Rebate was a $3,500 incentive for new battery electric and hydrogen fuel cell vehicles, funded by the Clean Energy Car Fund. It began in May 2022 and closed at midnight on 10 May 2025, after 14,424 rebates totalling $50.48 million were paid.
Australian Capital Territory (ACT)
The ACT's full stamp duty exemption for zero-emission vehicles ended on 31 August 2025. From 1 September 2025, new and used ZEVs pay the lowest emissions-based rates: $2.50 per $100 of value under $45,000; $1,125 plus $4.00 per $100 above $45,000 up to $80,000; and $2,525 plus $8.00 per $100 above $80,000.
The ACT's two years of free registration for zero-emission vehicles was available for ZEVs acquired until 30 June 2024. From July 2024 the ACT moved to emissions-based registration, so ZEVs pay lower fees than higher-emission vehicles of the same weight — for example, an electric Hyundai Kona's 2025-26 registration fee is $382, versus $695 under the old weight-based system.
Through the Sustainable Household Scheme, ACT residents can borrow between $2,000 and $20,000 at a subsidised 3% interest rate, repayable over up to 10 years, to buy a new or used zero-emission electric car costing less than $60,000. The $20,000 limit applies to new participants applying from 1 July 2026; anyone who applied or was approved before then can borrow a maximum of $15,000 over the life of the scheme. Previously offered at 0% (prior to 1 July 2025). The scheme remains one of the most practical active incentives for private buyers in Australia.
Tasmania (TAS)
Tasmania exempted new and used electric and hydrogen fuel cell vehicles from motor vehicle duty when registered between 1 July 2021 and 30 June 2023. New EVs contracted before 25 May 2023 stayed exempt if registered by 31 December 2023. EVs now pay the standard passenger vehicle rates (up to $4 per $100 of value).
Northern Territory (NT)
The Northern Territory offers two concessions running from 1 July 2022 to 30 June 2027: free registration for new and existing battery electric and plug-in hybrid vehicles, and a stamp duty concession of up to $1,500 for vehicles valued up to $50,000 (3% duty on value above $50,000). Motor Accidents Compensation charges still apply.
The NT Electric Vehicle Charger (Residential and Business) Grants Scheme offered EV owners up to $1,000 toward buying and installing a charger at a residential property, or up to $2,500 for a business. Applications closed on 31 December 2025 after the $300,000 allocation was nearly exhausted; approved grants had until 31 May 2026 to be paid and finalised.
Incentives are subject to change. Always verify eligibility and current status with the relevant government authority before making a purchase decision.
Sources: ATO, state and territory government websites. Last verified 2026-09-25.