Tesla Model Y L: Is It Worth Leasing Under the EV FBT Exemption?
The new Tesla Model Y L lands in Australia with V2L and a premium interior. Here's what PAYG employees need to know before signing a novated lease.
Tesla has just added a longer, more premium version of its best-selling Model Y to the Australian lineup — the Model Y L. A recent review by The Driven describes it as "the plushest and most versatile Tesla yet," and notably the first Tesla to ship with Vehicle-to-Load (V2L) capability, meaning you can power devices directly from the car's battery.
For Australian PAYG employees considering a novated lease, the timing is relevant: the federal EV FBT exemption still applies to eligible electric vehicles under the luxury car tax threshold, and the Model Y has consistently been one of the most popular EVs structured through novated leases in the country. The Model Y L is almost certain to sit in that conversation — but whether it falls under the FBT exemption threshold is something you'll need to confirm at the time of ordering, as pricing can change.
What this means for novated lease customers
The Model Y has been a workhorse of the Australian novated lease market, and The Driven review (Source 1) suggests the Model Y L could keep it at the top of the EV sales charts for the foreseeable future. A bigger, more comfortable cabin and V2L support make it a more compelling family and lifestyle vehicle — which is exactly the segment that drives a lot of novated lease enquiries.
If the Model Y L is priced under the luxury car tax threshold (currently $91,387 for fuel-efficient vehicles in the 2024–25 year), it would qualify for the EV FBT exemption, which removes the fringe benefits tax that normally applies to employer-provided vehicles. That exemption — combined with pre-tax salary contributions — is the core reason an EV novated lease can represent meaningful savings over a standard car loan for a PAYG employee. Pricing on the Model Y L hasn't been locked in at the time of writing, so check current Tesla pricing and confirm eligibility with your novated lease provider before proceeding.
Common questions
Does the Tesla Model Y L qualify for the EV FBT exemption?
It depends on the final drive-away price at the time of ordering. The EV FBT exemption applies to eligible zero-emission vehicles below the luxury car tax threshold for fuel-efficient vehicles. Confirm the current threshold with the ATO or your novated lease provider before signing anything.
What is V2L and does it affect my novated lease?
Vehicle-to-Load (V2L) lets you draw power from the car's battery to run appliances or charge other devices — handy for worksites, camping, or emergencies. It doesn't directly affect novated lease eligibility or FBT treatment, but it adds practical value to the vehicle.
Is the Model Y L available now in Australia?
The Driven published a review in June 2026, suggesting the vehicle is available or imminent in Australia. Check Tesla's Australian website or contact a novated lease provider for current lead times and delivery estimates.
How does a novated lease on an EV actually save me money?
Under a novated lease, your employer deducts lease payments from your pre-tax salary, reducing your taxable income. For eligible EVs, the FBT exemption means you don't pay fringe benefits tax on the car's private use — combining both benefits can produce meaningful savings versus a standard post-tax car loan. The exact amount depends on your income, the vehicle price, and your individual circumstances.
Can I include running costs like charging in a novated lease?
Yes — a fully maintained novated lease can bundle registration, insurance, servicing, and home charging costs into the pre-tax package. This is one of the practical advantages of structuring an EV through a novated lease rather than buying outright.