Speedst3r
Member
Where did you see this?I had a quick scan through the list of draft bills proposed for this session and couldn’t see anything obvious.
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Where did you see this?I had a quick scan through the list of draft bills proposed for this session and couldn’t see anything obvious.
It was hereWhere did you see this?
Boom that was quickThe legislation has had it's first reading to the House of Representatives.
Treasury Laws Amendment (Electric Car Discount) Bill 2022
Helpful information Text of bill First reading: Text of the bill as introduced into the Parliament Third reading: Prepared if the bill is amended by the house in which it was introduced. This version of the bill is then considered by the second house. As passed bywww.aph.gov.au
It still needs to be debated, undergo a second reading if there are amendments, and then voted on. Then the same process in the Senate. It still could be several weeks before it becomes law.Boom that was quick
Have you had any advice on how a retrospective exemption would work? A refund? Or some other mechanism?My reading ass follows. Assuming this bill is uncontroversial and quick passes and receives Royal Assent, it will be enacted at the next quarter start (e.g. 1st October). After enactment the legislation is written to be retrospective, backdating to 1st July 2022. The enables an FBT exemption that applies to the complete taxation year.
Fbt returns aren’t prepared/assessed until after 31/3 of the following year so you’re good.Have you had any advice on how a retrospective exemption would work? A refund? Or some other mechanism?
Is the car you want to lease available now? I have my car on order that I intend to use and will arrange my Novated Lease Quote as soon as this legislation has passed royal assent.I'm watching this with interest. I'm wondering how they will retrospectively apply the legislation. (I'm shortly going to apply for novt lease). Our company does employee contribution method meaning some of the lease cost comes out of my pocket hence negating fbt. If at end of year fbt reconciliation occurs those contributions will have to be refunded some how and converted to pre tax dollars towards lease. This is doing my head in !!. Lease provider so far not forthcoming how it'll work.. I guess go ahead with a standard lease and somehow it'll get reconciled March next year.. hmmm
Not advice, I will consider starting my lease not using ECM and getting my employer to hold off doing anything with FBT. Then if the legislation is passed and retrospective I won't need to change anything. If for some reason the legislation doesn't eventuate as indicated I will have plenty of time to make up the FBT liability and revert to ECM.I'm watching this with interest. I'm wondering how they will retrospectively apply the legislation. (I'm shortly going to apply for novt lease). Our company does employee contribution method meaning some of the lease cost comes out of my pocket hence negating fbt. If at end of year fbt reconciliation occurs those contributions will have to be refunded some how and converted to pre tax dollars towards lease. This is doing my head in !!. Lease provider so far not forthcoming how it'll work.. I guess go ahead with a standard lease and somehow it'll get reconciled March next year.. hmmm
I didn't think "work related km" are relevant - can be 100% personal use under a novated lease arrangement?I’ve had a cost for both options (with and without fbt) the cost difference per week is circa $50. Mainly because work related kms is 80%. I’m going to go ahead and do a novated lease, instead of loan, as financially there is very little difference between the 2 financially, even with 2.99% loan.
I’m expecting Labor’s bill to go through, think it’s a very slim chance it won’t get through at this stage
could you explain what you mean about ‘not using ECM?’ Please?Not advice, I will consider starting my lease not using ECM and getting my employer to hold off doing anything with FBT. Then if the legislation is passed and retrospective I won't need to change anything. If for some reason the legislation doesn't eventuate as indicated I will have plenty of time to make up the FBT liability and revert to ECM.
I didn't think "work related km" are relevant - can be 100% personal use under a novated lease arrangement?
Work related km are relevant under current arrangements - if 80% work use then Operating Cost Method is likely more financially advantageous than Statutory Cost.I didn't think "work related km" are relevant
ECM doesn’t raise an FBT liability, but on the assumption there won’t be one I can’t see the point making post tax contributions. I will make only pre tax, which will currently create an FBT liability but if legislation is passed and backdated then no FBT liability and nothing to change for my packaging arrangement. Hope that makes sense.could you explain what you mean about ‘not using ECM?’ Please?