Leapmotor B05 hits Australia — is it worth a novated lease?
The 2026 Leapmotor B05 RWD electric hatch is now priced for Australia. Here's what PAYG employees need to know about leasing it tax-effectively.
Another affordable electric hatch has landed in Australia. Leapmotor has confirmed local pricing and specs for its B05 — a rear-wheel-drive small EV that's squarely aimed at buyers cross-shopping the MG4 Urban and BYD Dolphin, according to the EVcentral Australia report [Source 1].
Leapmotor isn't a household name here yet, but the B05's positioning matters: small, rear-driven electric hatch at a price point that keeps it firmly within reach of the FBT exemption threshold for eligible EVs. That's the detail PAYG employees should pay attention to.
What this means for novated lease customers
Under current Australian tax law, eligible battery electric vehicles under the luxury car tax threshold can be packaged through a novated lease without attracting fringe benefits tax (FBT). That exemption is what makes affordable EVs like the B05 genuinely interesting from a salary packaging perspective — the potential pre-tax savings on finance, running costs, registration and insurance can be meaningful for a PAYG employee, without us needing to put a specific dollar figure on it here.
The competitive pressure from the B05 is also good news for anyone already considering an MG4 or BYD Dolphin through a novated lease. More supply-side competition tends to sharpen pricing and dealer flexibility, which flows through to the residual value assumptions and on-road costs that underpin your lease structure.
One honest caveat: Leapmotor is new to the Australian market. Service network depth, parts availability and resale data are all thinner than for established brands. These factors affect the total cost of a lease — not just the drive-away price. Ask your novated lease provider to stress-test the residual value assumptions before you sign.
Common questions
Is the Leapmotor B05 eligible for the FBT exemption on novated leases?
Eligibility depends on the vehicle's first retail price sitting below the luxury car tax threshold for fuel-efficient vehicles (currently $91,387 for 2024-25) and it being a new battery electric vehicle. Based on the pricing reported by EVcentral [Source 1], the B05 appears likely to qualify, but confirm the exact drive-away price with your novated lease provider before committing.
How does the B05 compare to the MG4 or BYD Dolphin for novated leasing?
All three are affordable RWD-capable electric hatches likely sitting under the FBT exemption threshold. The key differences for a lease are residual value projections and service network strength — two areas where the MG4 and Dolphin have more local track record than the newer Leapmotor brand.
Can I novated lease a Leapmotor B05 right now?
Pricing has been confirmed for Australia as of July 2026 according to EVcentral [Source 1], but actual delivery timelines and dealer availability will determine when you can take delivery. A novated lease can typically be structured before delivery — talk to millarX about timing.
What running costs can I package alongside the B05?
Under a fully maintained novated lease you can generally package registration, insurance, charging costs, tyres and scheduled servicing — all from pre-tax salary, subject to your employer's policy and the lease structure.
Is a newer, less-established brand a risk in a novated lease?
It can be. Residual values for brands with limited Australian resale history are harder to benchmark, which means the funder's residual setting may be more conservative. That affects your monthly payments. It's a real consideration, not a reason to automatically rule it out — just something to model carefully.