On 16 June 2021, the Commissioner issued Taxation Ruling TR 2021/2 ‘Fringe benefits tax: car parking benefits’ (‘the Ruling’), setting out the Commissioner’s views on when the provision of car parking is a ‘car parking benefit’. The final ruling has been a long time coming and completes a process involving the issue of a draft … Read more
In the May 2021 TaxEd Update, we discussed the implications of the recent Virgin Australia Airlines Pty Ltd v FCT [2021] FCA 523 (‘Virgin’) FBT and car parking case – if you missed the article, click here to have a read. In short, Virgin was successful in establishing it did not have an FBT liability … Read more
Over recent years, we have produced numerous articles dealing with situations involving whether a ‘contractor’ may be an ’employee’ and entitled to superannuation under superannuation guarantee (SG) rules. Two recent cases Dental Corporation Pty Ltd v Moffet [2020] FCAFC 118 (see September 2020 TaxEd Update) and MWWD v Commissioner of Taxation [2020] AATA 4169 (see … Read more
ATO announces data matching program on novated leases – employer implications? The ATO has advised it will be undertaking a data matching program with information sourced from novated lease providers in respect of the years 2018-19 to 2022-23. The ATO will source data from the following novated lease providers: Eclipx Group; LeasePlan; LeasePLUS; McMillan Shakespeare … Read more
Non-arms length remote area housing arrangements? In 2020, in a three-part series (*links listed at the end of this article) we looked at the various remote area related housing concessions available under the Fringe Benefits Tax Assessment Act 1986 (‘FBT Act’). One of those concessions was the remote area housing exemption. The remote area housing … Read more
Question In getting ready for the 2021/22 FBT year we are just wanting to clarify our understanding around when is it possible to apply the 1/3rd base value reduction for cars on which we calculate FBT using the statutory method? If we commenced to hold the car for the purposes of providing fringe benefits in … Read more
Question We are in the process of acquiring a car to be provided to a new employee manager. The employee has offered to trade-in their personally owned vehicle directly to the car dealer. The trade-in amount will be offset against our purchase cost of the new car. Can we reduce the base of the vehicle … Read more
Question Council owns and operates a number of pool and leisure facilities. We have a number of members that we categorize as rehabilitation members which provides them access to the swimming pools or the gyms depending on their needs. These are memberships where the person attends the facility as a result of medical needs for … Read more
Question As part of Council’s COVID Recovery Plan, Council is providing another round of the Community Support Fund (for food and essential items support, and COVID-related health programs). Council is calling for Expressions of Interest to provide urgent relief to the community by not-for-profit support organisations already running such programs. Council will enter into contracts … Read more
Question An employee received a $280 gift hamper and a $200 store gift card. Is the store gift card a property benefit or a residual benefit? Do we calculate FBT on $180 being the excess over the minor benefit threshold of $300? Answer In our view, the store gift card would be considered a property … Read more