22/03/2026
🚗 FBT Myth: Utes Are Always Exempt – Not Quite
We often hear, “It’s a ute, so there’s no FBT.”
Unfortunately, that’s not always true.
While many utes and commercial vehicles can be exempt from FBT, the exemption only applies if private use is limited.
🔍 What matters:
• The vehicle must be mainly designed to carry goods
• Private use must be limited to travel between home and work
• Any additional private use should be minor, infrequent and irregular
🚨 Using the ute for regular personal trips, school runs, or weekends away can trigger FBT, even if it’s a work vehicle.
The details matter, and this is an area the ATO looks at closely 🔍.
If you’re unsure whether your vehicle use is exempt, it’s worth checking before FBT time.