Statutory review of the electric car discount

In December 2025, the Australian Government announced a review of the electric car discount and released the Terms of Reference. The review will examine the operation of the electric car discount.

The Treasury Laws Amendment (Electric Car Discount) Act 2022 requires a review to be undertaken, as set out in Section 8. The Government has asked the Australian Centre for Evaluation, at the Australian Treasury, and the Department of Climate Change, Energy, the Environment and Water to conduct the review, working closely with relevant Commonwealth agencies.

The electric car discount has applied since July 2022. It provides a fringe benefits tax exemption and tariff exemption to eligible cars.