Fringe benefits tax (FBT)
Fringe benefits tax (FBT) is the tax paid by employers on benefits provided to employees. The FBT is a flat 47% tax imposed on the grossed-up taxable value of employees’ benefits provided by employers in respect of employment. Examples of fringe benefits provided to employees are the provision of cars, entertainment, laptops, mobiles, loans, car parking, and expense payment benefits.
Salary packaging strategies can provide benefits to employers in the form of savings on payroll tax and work cover. Employees can also benefit from the higher net disposable income.
- At Ezzura Tax Advisory, our tax specialist can assist in:
- identifying salary packaging opportunities for employees
- preparation and lodgement of FBT Return
- FBT planning strategies
- Tax consulting on fringe benefits
- Assistance with ATO’s FBT Audit or Review
