Australia Tax Agency Updates Practical Compliance Guideline on Electric, Plug-In Hybrid Vehicle Home Charging Rates

The Australian Taxation Office March 25 updated Practical Compliance Guideline No. PCG 2024/2, on the calculation of electricity costs when electric vehicles (EVs) and plug-in hybrid electric vehicles (PHEVs) are charged at an employee’s or individual’s home. Topics covered include: 1) the increase, to A$0.0547 (US$0.038) per kilometer from of A$0.042 (US$0.029), in the EV home charging rate, for fringe benefits tax (FBT) years or income years commencing on and after April 1; 2) methods of determining home charging percentages for EVs and PHEVs, and transitional approaches; 3) employer calculations of FBT on the taxable value of a benefit arising ...