As of 1 July 2022, eligible zero or low-emission vehicles under the luxury car tax threshold are exempt from FBT when provided via novated lease. This significantly enhances the tax savings potential. This exemption will be in place until mid 2027, and depending upon the government’s review it might be extended, amended or removed. But for any leases that were entered prior the 30th June 2027 their exemption will be honored for the entirety of their lease.