Fringe benefits tax (FBT) is payable on certain benefits you provide to your employees or their associates. These benefits are in addition to, or part of, your employees’ salary or wages package.
FBT is separate from income tax and is calculated on the taxable value of the benefits provided to employees.
Examples include providing your employee (or someone close to them) with:
- vehicles for private use
- holiday accommodation
- concert tickets
- memberships.
Some benefits are exempt or receive concessional treatment, so it’s good to brush up on what benefits attract FBT.
When to report?
The FBT year ends on 31 March.
If you’ve provided any fringe benefits since 1 April 2018, you need to:
- calculate your fringe benefits taxable amounts
- lodge and pay your FBT return by 21 May (or lodgment may be later if you use a tax agent).
Remember, registered tax agents and BAS agents can help you with your tax.
