FBT changes threaten Vic jobs: Premier THE federal government's proposed changes to tax concessions for business-related vehicle use could cut Victorian car production by 10,000 units a year, the state government says. Victorian Premier Denis Napthine wants Canberra to reconsider its "ill-conceived and precipitous policy change" saying the fringe benefits tax proposal poses a significant risk to the car manufacturing industry and component makers across the state. "We urge that if the federal Labor government is not prepared to abandon this policy, it should at least consider reviewing the scope of the new application of the tax to exempt locally-produced cars," Dr Napthine said in a statement. The premier said a preliminary analysis of the impact on the Victorian car manufacturing industry indicated the policy could cut production volumes for local car makers by 10,000 units a year, leading to falling demand for components across the entire supply chain.