Fringe Benefits Tax Assessment Act 1986

PART III - FRINGE BENEFITS  

Division 13 - Miscellaneous exempt benefits  

SECTION 58GA   EXEMPT BENEFITS - SMALL BUSINESS CAR PARKING  

58GA(1)   Exemption.  

A car parking benefit provided in an FBT year in respect of the employment of an employee is an exempt benefit if:

(a) the car is not parked at a commercial parking station; and

(b) the employer of the employee is not a public company (see subsection (3)), or a subsidiary of a public company (see subsection (3)), in relation to the day on which the benefit is provided; and

(c) the employer is not a government body; and

(d) either:

(i) the sum of the employer ' s ordinary income and statutory income for the year of income ending most recently before the start of the FBT year is less than $10 million; or

(ii) the employer is a small business entity, or is an employer covered by subsection (1A), for the year of income ending most recently before the start of the FBT year.

58GA(1A)    

An employer is covered by this subsection for a year of income if:

(a)    the employer is not a small business entity for the year of income; and

(b)    the employer would be a small business entity for the year of income if:

(i) each reference in Subdivision 328-C (about what is a small business entity) of the Income Tax Assessment Act 1997 to $10 million were instead a reference to $50 million; and

(ii) the reference in paragraph 328-110(5)(b) of that Act to a small business entity were instead a reference to an employer covered by this subsection.

58GA(2)   New employers.  

However, if an employer to which subparagraph (1)(d)(i) applies:

(a) in the case of a tax-exempt employer (see subsection (3)) - did not start to carry out operations or activities; or

(b) in any other case - did not start to carry out business operations;

until after the start of the year of income mentioned in subparagraph (1)(d)(i), then:

(c) that subparagraph does not apply; and

(d) the employer must make a reasonable estimate of the amount that would be the sum of the employer ' s ordinary income and statutory income for the year of income (the business start-up year ) in which the employer did start those operations or activities, or those business operations; and

(e) that estimate is to be made on the assumption that the employer had started the operations or activities, or the business operations, at the start of the business start-up year; and

(f) the benefit is an exempt benefit only if that estimate is less than $10 million.

58GA(3)   Definitions.  

In this section:

ordinary income
has the same meaning as in the Income Tax Assessment Act 1997.

public company
means a company covered by paragraph 103A(2)(a) of the Income Tax Assessment Act 1936 , but reading the reference in that paragraph to the last day of the year of income as a reference to the day on which the benefit is provided.

small business entity
(Repealed by No 114 of 2015)

statutory income
has the same meaning as in the Income Tax Assessment Act 1997.

subsidiary of a public company
means a subsidiary of a public company within the meaning of subsection 103A(4) of the Income Tax Assessment Act 1936 , but reading:

(a) a reference in section 103A of that Act to a year of income as a reference to the day on which the benefit is provided; and

(b) a reference in that section to a public company as a reference to a public company within the meaning of this section.

tax-exempt employer
means an employer all of whose income is wholly exempt from income tax.