Get ready for Fringe Benefits Tax (FBT) time

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It's time to start considering your fringe benefits tax (FBT) lodgment and payment obligations for the 2022 FBT year.

The 2022 FBT year ends on 31 March.



There are certain FBT concessions that can reduce your liability. However, it's important you know your organisation's FBT concession status, so you lodge and pay correctly. If you:

  • Have an FBT liability for the 2022 FBT year, you must lodge an FBT return and pay your liability by 23 May 2022 (as the statutory due date of 21 May falls on a weekend this year). This due date may differ if you use a tax agent.
  • Don't have an FBT liability for the 2022 FBT year and you are registered with the Australian Taxation Office (ATO) as an FBT payer, you should complete a Notice of non-lodgment - Fringe benefits tax form by the date your return would have been due.

Note. Don't forget to keep all records relating to the fringe benefits you've provided, including how you calculated the taxable value of benefits.



Before lodging your FBT return

  • Check if you've provided fringe benefits to your employees at types of fringe benefits:
    • Car fringe benefits
    • Car leasing fringe benefits 
    • Car parking fringe benefits
    • Entertainment-related fringe benefits
    • Expense payment fringe benefits
    • Debt waiver fringe benefits
    • Loan fringe benefits
    • Housing fringe benefits
    • Board fringe benefits
    • Living away from home allowance fringe benefits
    • Property fringe benefits
    • Residual fringe benefits
  • Decide how you're going to calculate your liability. You can see the different methods available at calculating your FBT.
  • Check if you're eligible for any exemptions and concessions, which can help to reduce the amount of FBT you pay.
  • If you've paid for items that you do not usually provide due to COVID-19, check COVID-19 and fringe benefits tax to see if FBT applies to you and what exemptions and concessions are available.
  • Keep all records relating to the benefits you've provided, including:
    • how you calculated the taxable value of benefits; and
    • exemptions or concessions that you're eligible for to reduce your FBT liability.

Have you noticed our #FridayExpertTips... here's one that relates to #FBT
"FBT exempt benefits: The provision of exempt benefits to employees is a good method to reward employees without having to pay FBT. Contact us today if you want to know more."

 

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Azure Group
Azure Group

Azure Group is the leading Chartered Accounting, Business Advisory and Strategic Advisory firm supporting the growth & success of fast growing entrepreneurial businesses.

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