If you intend to purchase an electric car down under or electric car charging infrastructure, there are a range of incentives and rebates available. Please be aware that each government’s electric car scheme has limitations and eligibility criteria may change.
Australian Federal government
Higher luxury car threshold (LCT)
Cars over a certain purchase price attract a luxury car tax. The luxury car threshold represents the value of car, over which the luxury car tax of 33% applies. The luxury car threshold includes the value of the car, including any accessories.
Electric cars are more expensive than petrol cars for a similar type and to encourage higher uptake of low emission vehicles, the Australian government sets the luxury car threshold higher for fuel efficient vehicles compared to other vehicles. In the financial year 2023-2024, the luxury car threshold for electric vehicles is $89,332 (in comparison to the luxury car threshold for traditional vehicles of $76,950).
Exemption from Fringe Benefits Tax (FBT)
This exemption only applies to cars under the luxury car tax threshold of $89,332.
People who purchase an electric car on a novated lease will benefit from this national government incentive.
Employers who provide employees with electric cars for use as a private vehicle, don’t have to pay FBT on the private-use portion of that vehicle.
Lower purchase prices due to removal of import tax
Electric cars under the luxury car threshold will have an average of $2,500 lower purchase prices due to the removal of 5% import tariff for electric cars priced under the Luxury Car Tax limit.
Queensland
The Queensland government provides a rebate of $3,000 for the purchase of a
- a new electric vehicle of the value of $68,000 (including GST) on or after 21 April 2023
- a new electric vehicle of the value of $58,000 (including GST) between 16 March 2022 and 20 April 2023
The Queensland government provides a rebate of $6,000 for the purchase of a
- a new electric vehicle of the value of $68,000 (including GST) on or after 21 April 2023 and have a total household taxable income equal to or less than $180,000 per annum
- a new electric vehicle of the value of $58,000 (including GST) between 16 March 2022 and 20 April 2023 have a total household taxable income equal to or less than $180,000 per annum
Individuals can only claim this rebate once while Queensland businesses can claim this up to five times a financial year as a Queensland business. This rebate schemes des not apply to purchases of electric cars through lease agreements (such as novated lease).
Application for a rebate under this scheme need to be submitted via the QRIDA online portal.
Queensland electric car drivers also receive reduced stamp duty of 2% opposed to 3% on a petrol car and a discount on their registration fee, which is about $80 for an electric vehicle compared to a 4-cylinder internal combustion engine vehicle.
New South Wales
The NSW government provides a rebate of $3,000 if a
- new electric vehicle has been bought or a deposit has been paid by 31 December 2023
- new electric vehicle has been registered for personal use in NSW by 30 June 2024.
Application for a rebate under this scheme need to be submitted via the NSW government service online portal.
The NSW rebates is closed for vehicle purchases prior to January 1, 2024. Also, the NSW electric vehicle rebate and stamp duty exemption closed 31 December 2023. These changes have been made so that the NSW Government can inject more funds into electric car charging infrastructure.
Victoria
The Victorian government no longer provides a rebate for the purchase of electric cars.
Victorian electric car drivers receive still receive an annual discount of a $100 on their vehicle registration.
Electric cars in Victoria are exempt from luxury car rates of stamp duty and instead they are charged a flat rate of stamp duty of $8.40 per $200 of the market value regardless of purchase price.
South Australia
The South Australian government no longer provides a rebate for the purchase of electric cars.
A 3-year registration fee waiver is available for eligible new electric eligible vehicles, valued below $68,750 and first registered between 28 October 2021 and 30 June 2025. This subsidy can be used once per individual. Vehicles first registered after 1 July 2025 will not receive any registration exemption.
Western Australia
The Western Australia government provides a rebate of $3500 for the purchase of a new electric cars of a maximum dutiable value of $70,000 or less, sold from 10 May 2022. Applications can be submitted here.
The rebate is available for 10,000 eligible vehicles licensed in WA, or for three years following the announcement (Saturday 10 May 2025), whichever comes first.
Northern Territory
The Northern Territory government does not provide any more a rebate for the purchase of electric cars.
The Northern Territory government waives until the 30 June 2027 the stamp duty fee for the purchase of electric cars up to the value of $50,000 (saving of about $1,500) as well as registration fee for electric cars (saving of about $91).
The Northern Territory government subsidises the purchase and installation of EV chargers, with grants of $1,000 for individuals and $2,500 for businesses until funds for this Electric Vehicle Charger Grants Scheme are exhausted. Applications can be submitted here.
Tasmania
The Northern Territory government does not provide any more a rebate for the purchase of electric cars.
The Energy Saver Loan Scheme provides no-interest loans between $500 and $10,000to eligible applicants to fund the purchase price and installation of energy efficient products, such charging infrastructure for electric vehicles. Applications can be submitted here.
Australian Capital Territory
The Australian Capital Territory (ACT) government does not provide any more a rebate for the purchase of electric cars.
Owners of new or used electric vehicles in the Australian Capital Territory purchased or acquired between 24 May 2021 and 30 June 2024 are eligible to receive two years of free registration. From 1 July 2024, vehicle registration fees will gradually transition from the current weight-based vehicle registration system to an emissions-based lower registration fees for electric vehicles.
New or used electric vehicles purchased on or after 1 August 2022 receive a stamp duty exemption. To be eligible you must hold an ACT Driver Licence and garage the vehicle in the ACT.
Interest free loans of up to $15,000 to purchase an electric vehicle (or vehicle charging infrastructure) are provided to individuals, if the vehicle is under the luxury car tax threshold for fuel efficient vehicles. Applications can be submitted here.