The Fringe Benefits Tax (FBT) year came to an end on 31 March and it is time to consider any non-salary benefits provided to your employees.
While there have not been many fundamental changes to the 2021 FBT year rules, COVID-19 has created additional scenarios with potential FBT implications. These include but not limited to:
• Rapid Antigen Tests and vaccination incentives;
• Working from home; and
• Changes in motor vehicle use.
The good news is that many of these situations can be mitigated by existing FBT exemptions and concessions such as:
• Portable electronic devices used primarily for employment purposes;
• Expenses that would otherwise be deductible to the employee; and
• Minor and infrequent items costing less than $300.
As confirmed in the recent budget, the government plans to exempt work-related Rapid Antigen Tests from FBT.
The Australian Taxation Office (ATO) has also provided guidance on changes to motor vehicle usage due to COVID-19 including allowing reliance on existing on logbooks despite changes in driving patterns.
Further details regarding COVID-19 exemptions and concession can be found at the following ATO link:
Please use the following documents to review your FBT obligations and contact your trusted advisor if you have any questions.