Fringe Benefit Tax (FBT)

FBT is simply a tax paid on benefits that employees (past, present or future) receive and enjoy as a result of their employment. This includes benefits given to employees or shareholder-employees that are provided through another person.
If, as an employer, you provide fringe benefits to your employees, shareholder-employees, or other people associated with your employees (including family members or friends), generally you must pay FBT on the value of these benefits.
What are considered fringe benefits?
Common fringe benefits include:
Private use of a motor vehicle (FBT is calculated on the availability of the vehicle rather than the actual usage per kilometre)
Low interest loans
Free or discounted goods and service
Subsidised transport
Contributions to sick, accident or death benefit funds, or to insurance
Other benefits if the cost is above certain thresholds.
Accounting Tasman is able to discuss FBT issues with you and prepare FBT returns where necessary.



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Richmond, Nelson.