July 2020

Salary packaging – Salary sacrifice of accrued leave

Timing is crucial when it comes to salary sacrificing leave entitlements. The Commissioner’s view on the taxation implications of salary sacrifice arrangements is discussed in Taxation Ruling TR 2001/10. A salary sacrifice arrangement is an arrangement between an employer and an employee whereby the employee agrees to forgo part of their future entitlement to remuneration […]

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GST Q&A – Acquiring property without applying the margin scheme

What happens where the vendor wants to apply the margin scheme, but the purchaser doesn’t? Question We are a local government entity and are purchasing a private property in order to develop it into a park. The vendor is requesting GST under the margin scheme, but as we won’t be selling the property this is

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FBT – Expansion of the taxi travel fringe benefit exemption

There has been a retrospective legislative change that includes ride-sourcing in the FBT exemption relating to taxi travel. Section 58Z of the FBTA Act provides that certain taxi travel is an exempt benefit. It was drafted prior to the advent of ride-sourcing and its reliance on the definition of taxi as a ‘motor vehicle that

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FBT – Why don’t PBIs and other s. 57A employers pay FBT on non-salary packaged meal entertainment?

Being an employer within s. 57A of the Fringe Benefits legislation gives rise to an unexpected favourable outcome. One of many unexpected outcomes that arises in an FBT context is the fact that entities covered by s. 57A of the Fringe Benefits Tax Assessment Act 1986 (‘FBT Act’) are not subject to FBT on non-salary

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