MG S6 Electric SUV: Is It Worth a Novated Lease?
The MG S6 electric SUV is coming. Here's what Australian PAYG employees need to know about leasing it under the FBT exemption. Read the plain-English breakdown.
The MG S6 electric SUV has just broken cover, and it's aiming squarely at two of the most popular novated lease targets in Australia right now — the Kia EV5 and the Tesla Model Y. According to The Driven's first-look coverage [Source 1], the S6 is a family-sized electric SUV designed to sit in the mid-size segment where demand for novated leasing is highest.
For PAYG employees, the timing matters. If the MG S6 is priced under the luxury car tax threshold when it reaches Australian dealerships, it should qualify for the federal government's FBT exemption on eligible battery electric vehicles — the same exemption that has made the Model Y and upcoming EV5 so attractive through novated leasing. Nothing is confirmed until MG Australia publishes local pricing, so treat this as a watch-this-space situation, not a done deal.
What this means for novated lease customers
The MG S6 entering the mid-size electric SUV space is good news for employees shopping a novated lease — more competition in this segment generally means sharper pricing, and sharper pricing improves your FBT exemption story. Under the current FBT exemption for eligible EVs, your employer pays no FBT on a qualifying battery electric vehicle, which means the lease payments come from your pre-tax salary without that cost being grossed up. The result is a meaningful reduction in the income tax you pay on those dollars — without us quoting specific figures, the potential savings on a mid-size family EV can be material for most income brackets.
That said, the MG S6 is not yet on sale in Australia. Before you make any decisions, you'll want confirmed local pricing, confirmed eligibility under the FBT exemption rules, and a proper comparison against the Model Y and EV5 on total cost of ownership over your lease term. That's exactly the kind of number-crunching millarX does — without the sales-pitch fluff.
Common questions
Will the MG S6 qualify for the novated lease FBT exemption?
Possibly — but it depends on Australian pricing. To qualify, the vehicle must be a battery electric vehicle and its value must sit under the luxury car tax threshold at the time of first retail sale. MG Australia hasn't published local pricing yet, so eligibility can't be confirmed. We'll update this page when they do.
How does the MG S6 compare to the Tesla Model Y for a novated lease?
On paper, the S6 targets the same segment as the Model Y — mid-size electric SUV, family-oriented. The right choice for a novated lease depends on purchase price, residual value, running costs, and your own circumstances. A side-by-side comparison makes sense once MG Australia confirms specs and pricing.
Can I novated lease a car that hasn't been released yet?
Yes — many employees lock in a novated lease on a vehicle that's on order but not yet delivered. The lease typically starts when the vehicle is registered. Talk to millarX early so the structure is ready to go the moment the car lands.
What's the luxury car tax threshold and why does it matter for EVs?
The ATO sets a luxury car tax (LCT) threshold each financial year — there's a higher threshold for fuel-efficient vehicles including EVs. If a vehicle's value exceeds the relevant threshold, it affects FBT exemption eligibility. Check the ATO's current figures before assuming any vehicle qualifies.
Is millarX able to arrange a novated lease on an MG vehicle?
Yes. millarX can novate across all makes and models available in Australia, including MG. Once the S6 is on sale locally, we can run the numbers and structure the lease if it stacks up for you.