Fringe Benefits Tax (FBT)
- The FBT year runs from 1 April to 31 March of the following year annually.
- The records maintained on the fleet management system helps determine the most cost effective FBT method available for University vehicles.
- All drivers/custodians of University vehicles will maintain records for FBT requirements as described in the vehicle logbook.
Vehicles subject to FBT
- A "car" is defined as any motor car, station wagon, panel van, utility truck and similar vehicle; or any other road vehicle designed to carry a load of less than one tonne and fewer than nine passengers.
- A University provided "motorcycle" is NOT a fringe benefit, but a residual fringe benefit.
|
Distance travelled during the FBT year (1 April - 31 March) |
Statutory percentage |
||||
|---|---|---|---|---|---|
|
Existing contracts |
New contracts entered into after 7.30pm (AEST) on 10 May 2011 | ||||
| From 10 May 2011 |
From 1 April 2012 |
From 1 April 2013 |
From 1 April 2014 |
||
|
0 - 15,000 km |
26% |
20% |
20% |
20% |
20% |
|
15,000 - 25,000 km |
20% |
20% |
20% |
20% |
20% |
|
25,000 km - 40,000 km |
11% |
14% |
17% |
20% |
20% |
|
More than 40,000 km |
7% |
10% |
13% |
17% |
20% |
Exception & Transitional Rules
- Cars with a confirmation time after 7.30pm on 10 May 2011 are subject to statutory valuation rates that increase each year in line with the table provided by treasury. That is, a car doing 26,000km per annum would be valued using the 14% rate in 2011, 17% in 2012 and then 20% the year after.
- There are two common events that will trigger transitional rules:
- Refinance of the car: transitional rules will apply from 1 April following refinance date.
- Change of legal employer: transitional rules will apply from start date at new employer.
Please refer to the reforms to car fringe benefit rules article for further information.