Latest news with #FringeBenefitTax
Scoop
18 hours ago
- Business
- Scoop
PM's Intervention To Kill Simon Watts' Ute Tax 2.0 Welcomed By Taxpayers
The Taxpayers' Union is welcoming the Prime Minister's intervention to rule out the Inland Revenue Department's proposal to apply Fringe Benefit Tax (FBT) to all utes worth $80,000 or more and other work vehicles — a plan directed by Climate Change and Revenue Minister Simon Watts. In response to media comment issued by the Prime Minister's Office last night, Taxpayers' Union Executive Director Jordan Williams said: 'Simon Watts was pushing a new Ute Tax, without his Cabinet colleagues or the public even knowing. Had it gone ahead, farmers and tradies would have been slammed with thousands of dollars in additional tax each year – not just once like Labour's Ute Tax, but every year.' 'The documents are crystal clear. IRD was instructed by Minister Watts to proceed with and consult with the tax industry on the implementation of a new FBT regime that would capture work vehicles, regardless of how they're actually used. This was a massive tax hike by stealth.' "As far as we can tell, the Revenue Minister didn't consult with any taxpayer, business, or farming groups, despite work having been done on this for nearly a year. Had he bothered to engage, the unfairness and political risk would have been obvious. That lapse saw the Government facing backlash because it was tax boffins who blew the whistle and it took everyone by surprise. Minister Watts should learn the lesson." 'Within hours of our campaign launch yesterday, the National Party was in damage control. Within six hours, the PM's team overruled Watts and confirmed the policy would not proceed.' The Taxpayers' Union yesterday revealed documents showing that IRD had been working on changes to remove the logbook exemption for work vehicles and impose FBT on the assumed private use of double cab utes. According to IRD's own estimates, the tax grab would have cost farmers, tradies and other ute owners $100 million per year. 'We give credit to the Prime Minister and his office for stepping in quickly and pulling the handbreak.' says Mr Williams. 'This is a clear win for taxpayers and proof that grassroots pressure works. We thank the thousands of Kiwis who used our online tool to email National MPs and demand the Ute Tax 2.0 be scrapped."
NZ Herald
3 days ago
- Automotive
- NZ Herald
Ute buyers face Investment Boost carrot, Fringe Benefit Tax stick
The Government's new Investment Boost scheme has provided an incentive for businesses to buy a dual-cab ute, just as a new wave of plug-in hybrid models are tempting buyers. But some fear possible changes to the Fringe Benefit Tax (FBT) rules will undercut the gains. Announced in the May Budget,
Scoop
4 days ago
- Automotive
- Scoop
No Change To FBT Rules For Double Cab Utes
Inland Revenue has moved to clear up a misunderstanding by some commentors about the effect of new Fringe Benefit Tax (FBT) proposals, particularly those for double cab utes. Inland Revenue Deputy Commissioner (Policy) David Carrigan says it's a myth that utes have always been FBT free. 'When it comes to double cab utes, these are treated no differently to any other vehicle. Unless the use of the vehicle meets all the requirements for an exemption from FBT, then a double cab ute is, and always has been, subject to FBT. That is the current law,' David Carrigan says. 'Work-related vehicles are only exempt from FBT if they meet certain requirements. This includes double cab utes.' FBT exemptions A vehicle, including a ute, is exempt from FBT only on days it is used for essential work purposes as defined on our website Employer provided motor vehicles for private use. David Carrigan says 'vehicles that are used partly for business and partly privately are subject to FBT now on the days the vehicles are used for private use. 'The proposals do not change that treatment but remove the necessity to count days where a vehicle is or is not available for private use. 'The idea is to simplify FBT, not create additional obligations. If a business – including a farm – is not currently liable for FBT on a vehicle then it's unlikely they would become liable for FBT under any proposals taken forward. Consultation 'Inland Revenue has undertaken public consultation on FBT proposals, including for motor vehicles, after a lot of work with the tax community to understand businesses' frustration with the current FBT rules. 'The aim of the proposals is not to increase revenue but rather focus on reducing the compliance costs of FBT by moving to a close enough is good enough approach rather than strict day counts of when a vehicle is and is not used for private use, ignoring any incidental use, such as stopping to pick up groceries on returning from business trip. No decisions 'The government has not made any final decisions in relation to potential changes to the FBT regime and Ministers are currently considering the feedback received from submitters on the Inland Revenue issues paper with a view to refining those proposals. 'The Government is considering feedback from consultation and any changes would progress through the normal legislative process, giving people another opportunity to make submissions,' David Carrigan says.
7NEWS
23-05-2025
- Automotive
- 7NEWS
BYD Shark 6 deals bring cashback, financing offers
BYD is offering a few end-of-financial-year deals on its Shark 6 plug-in hybrid (PHEV) dual-cab ute following the end of Fringe Benefit Tax (FBT) breaks for novated lessees of PHEVs last month, including a cashback campaign and financing and leasing offers. All ABN holders who take delivery of a Shark 6 between May 12 and June 30, 2025 are eligible for finance with a $0 deposit and a 1.99 per cent per annum interest rate over a 36-month term. Deals on the BYD Shark 6 are available now. Contact a dealer via CarExpert for the best deal or call our Concierge team on 1300 587 992. This offer excludes demo vehicles, as well as government, fleet and rental buyers. But BYD Shark 6 buyers who take delivery between May 1 and June 30 can receive fleet pricing, effectively a four per cent discount, if they order through a valid novated lease provider or fleet management organisation. Discounted pricing excludes applicable state on-road costs, and demonstrator models are excluded from this offer. 'Don't let the end of the FBT benefits stall your ambitions,' BYD says on its offer page. Per a post on the BYD Shark Owners Club Australia group on Facebook, certain Shark 6 buyers have also been offered $4000 cashback, to be received after taking delivery of their utes. We've contacted the brand to confirm who qualifies for this offer, which doesn't appear on its website. According to an email sent to a customer shared on Facebook, the offer will appear on the final tax invoice. Within three to five business days of taking delivery, eligible buyers will receive an email with a form to complete to redeem the offer. This offer isn't applicable to demonstrator, fleet or government vehicle purchases, and cannot be combined with any other promotions, including financing and novated leasing offers currently available for the Shark 6. The Shark 6 stormed into Australia's top 10 best-selling vehicles list in its first month of recorded deliveries, though there was a caveat here. Of the 2026 deliveries recorded in VFACTS, 450 of those were actually delivered in January but weren't reported that month due to an administrative error. Nevertheless, enthusiasm for the ute – particularly given the then-imminent end of the FBT exemption for PHEVs on April 1 – propelled it past the Isuzu D-Max and made it Australia's sixth best-selling model overall. The Shark 6 held onto sixth spot in March with 2810 deliveries, again putting it ahead of the D-Max, though it dropped to 16th spot with 1293 deliveries in April. It remains to be seen how Shark 6 sales will track in Australia following the end of the PHEV FBT exemption and the introduction of rivals including the GWM Cannon Alpha PHEV this month and Ford Ranger PHEV mid-year.
Perth Now
23-05-2025
- Automotive
- Perth Now
BYD Shark 6 deals bring cashback, financing offers
BYD is offering a few end-of-financial-year deals on its Shark 6 plug-in hybrid (PHEV) dual-cab ute following the end of Fringe Benefit Tax (FBT) breaks for novated lessees of PHEVs last month, including a cashback campaign and financing and leasing offers. All ABN holders who take delivery of a Shark 6 between May 12 and June 30, 2025 are eligible for finance with a $0 deposit and a 1.99 per cent per annum interest rate over a 36-month term. Deals on the BYD Shark 6 are available now. Contact a dealer via CarExpert for the best deal or call our Concierge team on 1300 587 992. Supplied Credit: CarExpert This offer excludes demo vehicles, as well as government, fleet and rental buyers. But BYD Shark 6 buyers who take delivery between May 1 and June 30 can receive fleet pricing, effectively a four per cent discount, if they order through a valid novated lease provider or fleet management organisation. Discounted pricing excludes applicable state on-road costs, and demonstrator models are excluded from this offer. 'Don't let the end of the FBT benefits stall your ambitions,' BYD says on its offer page. Supplied Credit: CarExpert Per a post on the BYD Shark Owners Club Australia group on Facebook, certain Shark 6 buyers have also been offered $4000 cashback, to be received after taking delivery of their utes. We've contacted the brand to confirm who qualifies for this offer, which doesn't appear on its website. According to an email sent to a customer shared on Facebook, the offer will appear on the final tax invoice. Within three to five business days of taking delivery, eligible buyers will receive an email with a form to complete to redeem the offer. This offer isn't applicable to demonstrator, fleet or government vehicle purchases, and cannot be combined with any other promotions, including financing and novated leasing offers currently available for the Shark 6. The Shark 6 stormed into Australia's top 10 best-selling vehicles list in its first month of recorded deliveries, though there was a caveat here. Of the 2026 deliveries recorded in VFACTS, 450 of those were actually delivered in January but weren't reported that month due to an administrative error. Supplied Credit: CarExpert Nevertheless, enthusiasm for the ute – particularly given the then-imminent end of the FBT exemption for PHEVs on April 1 – propelled it past the Isuzu D-Max and made it Australia's sixth best-selling model overall. The Shark 6 held onto sixth spot in March with 2810 deliveries, again putting it ahead of the D-Max, though it dropped to 16th spot with 1293 deliveries in April. It remains to be seen how Shark 6 sales will track in Australia following the end of the PHEV FBT exemption and the introduction of rivals including the GWM Cannon Alpha PHEV this month and Ford Ranger PHEV mid-year. MORE: Everything BYD Shark 6
