Did you know the Fringe Benefits Tax (FBT) year is different to a standard financial year? The FBT year runs from 1 April to 31 March each year, and as we approach the 2018 FBT year end now is the time to begin gathering records relating to your fringe benefits. This includes considering how you will calculate the taxable value of these benefits. You must also keep records if you want to take advantage of various exemptions or concessions that reduce your FBT liability.
Examples of these records include:
bills of sales
One of the most common FBT claims is for the use of motor vehicles. Cars that are not commercial vehicles will need to ensure they have a logbook that is not more than five years old and still represents the current business vs private usage of the vehicle. Note, that commercial vehicles include utilities vans and trucks.
Another important requirement is keeping a record of the closing odometer reading for cars on the 31st March 2018. This is a requirement irrespective of whether FBT is calculated on the logbook or statutory method for the vehicle.
Sample odometer reading:
For further information on FBT please follow the links below or contact us on (07) 3446 5906 or via email.
Fringe benefits tax - a guide for employers