Reminder of NSW Government Electric Vehicle Strategy Eligibility Criteria
In late October we advised members of the recently announced NSW Government Electric Vehicle Strategy.
The Strategy contains a number of important incentives which will help stimulate interest in Electric Vehicles (EVs) and encourage their uptake among new car buyers.
The Strategy is proving very successful, generating demand for EVs, but it is critical that members understand all of the scheme rules and how they apply so that consumers have a full understanding of the benefits and eligibility criteria.
We have recently received feedback from the NSW Government that some consumers have been told by Dealers that demonstrator vehicles are eligible under the NSW EV rebate scheme, which is not correct. The NSW EV rebate scheme treats demonstrators as second hand and only new vehicles are eligible. We have also had feedback that some consumers have not been advised by their Dealer that the vehicle they have purchased has been registered previously as a Dealer demonstrator and is therefore ineligible for the NSW EV rebate scheme.
Full battery EV Dealer demonstrator vehicles are eligible for a stamp duty exemption if they have a dutiable value of up to $78,000.
We would also like to reiterate that vehicles purchased under leasing arrangements, including novated leases, are not eligible for the NSW Government rebate.
Members should refer to, and direct customers to, the NSW Government EV Strategy Webpage for further information, but a summary of the Strategy is as follows:
- From 1 September 2021, the NSW Government rebate and stamp duty exemption are available to buyers of new eligible battery and hydrogen fuel cell EVs.
- The rebate of $3,000 applies to new full battery EVs and hydrogen fuel cell EVs with a dutiable value of less than $68,750 (inc. GST) for the first 25,000 vehicles sold.
- From 1 September 2021 stamp duty for full battery EVs and hydrogen fuel cell EVs with a dutiable up to $78,000 is removed and refunded to customers.
- From 1 July 2027 or when EV sales make up 30% of new car sales, all EVs including plug-in hybrid EVs are stamp duty exempt and a road user charge will be introduced for those EVs that have received a stamp duty exemption.
- Incentives are also available for small fleets.
- The NSW Government will invest $171 million in charging infrastructure over the next four years.
Process For Claiming a Rebate and/or Stamp Duty Exemption
The rebate and stamp duty exemption are available retrospectively for eligible vehicles purchased and registered from 1 September 2021 and can be claimed by the customer via the NSW Government online portal after the sale has been finalised and the vehicle registered.
The Strategy is designed to apply directly to buyers of eligible battery EVs and hydrogen fuel cell EVs and will not be managed by Dealers. Buyers are responsible for determining their eligibility under the scheme and for claiming any rebate or stamp duty refund to which they may be entitled.
Members are advised to direct all enquiries from customers and potential customers to the NSW Government EV Strategy webpage to review the eligibility criteria prior to purchasing their vehicle.
On this page, customers are able to access the online portal. The online portal will take consumers through a series of questions about their purchase before accessing the portal to submit their application.
Further information about the operation of the scheme is available on the above website, which will be updated as the Strategy is rolled out.