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Fringe Benefits Tax Stakeholder Group key messages 18 May 2022

Summary of key topics discussed at the Fringe Benefits Tax Stakeholder Group meeting 18 May 2022.

Last updated 5 July 2022

Introduction

The Chair opened the meeting with an acknowledgement of country.

Lodgment program review

The ATO presented to the group regarding the lodgment program review. This review is moving into the focus groups stage, with one such group including FBT specific content.

It was agreed that when the focus group has further articulated their information, it will be shared with this group for consideration.

Program of work update

The status of the following program of work items were discussed:

  • Car fringe benefits – calculation of home electricity costs attributable to the 'fuel' for electric vehicles. Due to the, then, caretaker period, the ATO is not in a position to confirm implementation approach, though calculations options are in in an advanced stage of development.
  • Car fringe benefits – Draft Chapter 7, Fringe benefits tax – a guide for employers. Stakeholder Group feedback has been received and considered and the ATO has agreed to reframe the example where the car is not available for private use and possession has been relinquished. Further updates to the group will follow.

Consultation on car parking

On 29 March 2022 there was a government announcement on the intention to consult on car parking fringe benefits. Whether the incoming government will proceed to make any changes is yet to be determined.

In the meantime, Taxation Ruling TR 2021/2 Fringe benefits tax: car parking benefits remains the current ATO view, effective from 1 April 2022.

Employers who think they may be impacted, should consider collating the relevant records to comply.

Action item update

Action item

Car Fringe Benefits

Due date

To be confirmed

Responsibility

ATO

Action item details

ATO to finalise example 5 of Chapter 7 of the Employers Guide and re-circulate to the group.

 

Action item

Car Fringe Benefits – Claiming home electricity costs for electric vehicles

Due date

To be confirmed

Responsibility

ATO

Action item details

ATO to confirm and advise the group of the proposed method of implementation of the calculation method for home charging.

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