Get a GST discount on the upfront vehicle purchase price
Pay $0 GST on your running costs (including charging)
All MG ZS EV variants are eligible for the government's FBT exemption
Shopping around for the right novated lease can save you thousands of dollars in interest and fees.
In our MG ZS EV novated lease guide:
MG’s ZS EV is often touted as one of the most affordable EVs available in Australia, with a driveaway pricing starting at just over $45,000.
While the MG ZS EV is still more expensive than the non-EV variant of the same model, drivers who pay for the car through a novated lease stand to make significant savings compared to other ways of financing an MG.
The same is true of the HS Plus EV, the other popular electric car in MG’s range.
|Vehicle||Estimated drive-away price||Up-front GST saving||Weekly novated lease cost||Total tax saving during lease|
MG ZS EV (Excite)
MG ZS EV (Essence)
MG ZS EV (Long Range)
If you get a novated lease for a MG ZS EV, you’ll be paying for the car directly from your salary. More specifically, your pre-tax salary.
You’ll also be able to package pretty much all running costs for your MG ZS EV and pay for those through pre-tax salary too.
This arrangement – sometimes known as salary sacrificing a car – could mean a considerable discount on the cost of a MG ZS EV.
The savings come from the tax-friendly agreement between you, your employer and a novated lease company who facilitates the lease. They may even help you source a MG ZS EV to buy.
The car running costs you can include in your MG ZS EV 5 novated lease include:
Bear in mind some related expenses for your MG ZS EV can’t be included. For example, the cost of installing a home battery or fast charger cannot be packaged with your lease.
The good news for those considering a MG ZS EV is that all variants are eligible for the fringe benefits tax exemption on an electric car novated lease as they are priced below the luxury car tax (LCT) threshold.
That means the MG ZS EV Excite, Essence and Long Range variants are all eligible.
The novated lease fringe benefits tax exemption means you will be able to pay for 100% of your lease costs (including all eligible running costs) using your pre-tax salary. This boosts the savings already available on all novated leases compared to a car loan, or even paying for the car in cash.
If your employer offers novated leasing as a benefit, the first step will be to get a personalised quote based on your salary and the specific MG ZS EV you want.
Some employers have exclusive contracts with particular novated leasing providers, but ideally you should get quotes from a few different companies and go with the best deal.
If you decide to progress, the lease company will help with your finance application. You’ll need to provide information about your salary, any other income, plus your expenses and any debt you have.
If you’re approved, the novated lease company will establish the lease agreement and arrange for the salary deductions to be made by your employer based on your regular lease payment amount.
The residual payment on your MG ZS EV novated lease will depend on the purchase price of the vehicle and the length of your lease.
As an example, the residual payment on a MG ZS Excite with a 5-year novated lease (purchase price: $45,709) would be $12,888.91 (inclusive of GST) or 28.13% of the purchase price. This is based on the minimum residual value rates set by the ATO.
Remember you’ll need to use after-tax money to make the residual payment on your MG ZS EV novated lease.
The lender financing the lease will carry out a credit score check when assessing the application for your MG ZS EV novated lease. Your credit score could impact the interest rate you’re charged on the finance.
Novated lease guides and resources
Find out more about the possible savings, benefits and things to watch out for, plus your range of options with a novated lease in Australia.