Home charging rate for EVs released

With the increasing popularity and uptake of EVs, the ATO has now released a draft compliance guideline which contains the methodology for calculating the cost of electricity when an eligible electric vehicle is charged at an employee’s or an individual’s home. The methodology contained in the guideline can be applied for FBT (eg car fringe benefit, residual benefit, or car expense payment fringe benefit) from 1 April 2022 and for income tax purposes (eg car expenses relating to carrying out income-earning activities) from 1 July 2022.