Fringe Benefits Tax

Here you will find information relating to Fringe Benefits Tax.

Third party FBT danger – what to look for

Where some businesses have tripped up in the past is where the source of benefits provided is not clear cut — that is, where non-cash components of remuneration are sourced not directly from an employer, but from an associate, a related company or from a third-party provider. For fringe benefits tax (FBT) to apply, the […]

ATO spells out its big FBT concerns

March 31 and the end of the FBT year is around the corner, so to help taxpayers get things right, the ATO has made public the fringe benefits tax issues that attract its attention. Broadly (not just in relation to FBT), the ATO says the following behaviours and characteristics tend to raise a red flag: […]

Novated leases, FBT and claims for work-related car expenses

A novated lease is a popular way for employers to reward and incentivise their staff. Through a salary sacrifice arrangement that includes a novated lease, employees are provided with a vehicle and can also reduce their personal tax liability. However, employees should understand how fringe benefits tax (FBT) might apply to their arrangement and what […]

Tax and Christmas party planning

Christmas will be here before we know it, with smarter business owners already planning their end-of-year festivities. Celebrating the season can be team-building or just a bit of fun, but the well-prepared business owner will also know that a little tax planning can help make sure there’s no unforeseen tax problems. The three benefits typically […]

Small business car parking FBT exemption

A business becomes liable for fringe benefits tax where it provides car parking benefits in the form of a car parking facility for more than four hours on its premises to its employees, and the relevant car parking facility is situated within one kilometre of a commercial car park where the minimum all day cost […]

FBT and cars – a perennial head-scratcher

The provision of cars by employers to employees remains an issue that continues to create confusion for some business taxpayers. A not-uncommon situation is where the employer fails to identify that a car fringe benefit has been provided. This is typically found in family companies or trusts where a car bought by the business is […]

Novated leases explained

Wrapping a car into a salary package is a very popular choice, and doing so as part of a salary sacrifice arrangement often raises the topic of novated leases. What’s a novated lease? Simply put, a novated lease is a way for an employee to buy a new or used car and have their employer […]

FBT exemptions under the radar

Providing fringe benefits goes hand-in-hand with the task of retaining good and loyal employees as well as attracting new talent for your business. However the types of benefits provided can sometimes relieve the compliance headache. Now that we have entered into the new fringe benefits tax year (which began on April 1), business owners are […]

Employers: Beware “left-field” FBT liabilities

It is generally understood that for fringe benefits tax (FBT) to apply, the benefits paid are usually in respect of an employment relationship. Where some businesses have tripped up in the past however is where this relationship is not clear cut — that is, where non-cash components of remuneration are sourced not directly from you […]

Save health (and tax) with a salary-sacrificed e-bike

Salary sacrificing a “company car” is a pretty popular option offered to employees. However, you may not be aware that there is also a tax and health incentive with another particular set of wheels. Why don’t you consider channelling your inner “mamil” (middle aged men in lycra) and package up an electrically assisted bicycle (e-bike) […]