Payroll, super and FBT

Fringe benefits tax (FBT)

Fringe benefits tax is a tax employers pay on certain benefits they provide to employees or their associates, usually instead of salary, such as a car made available for private use, a loan on low interest, or entertainment. It is separate from income tax, and it is the employer, not the employee, who pays it. The FBT year runs from 1 April to 31 March. The amount depends on the taxable value of each benefit, which is worked out under the Fringe Benefits Tax Assessment Act 1986, and some benefits are exempt or concessionally treated. An employer with a liability lodges an FBT return and pays by the due date.

General information, not tax advice. The rules change, so check the source page above for the current position. Fedix is developed by Tax7 R&D Pty Ltd.