The 2023 FBT year ends on 31 March 2023, so it’s a good time to start thinking about your FBT obligations. You’ll need to work out if you have an FBT liability for fringe benefits you’ve provided to your employees or their associates between 1 April 2022 and 31 March 2023. If you have an FBT liability or paid FBT instalments on your activity statements, you need to lodge an FBT return and pay the amount due by 22 May. This date applies as the statutory due date of 21 May falls on a weekend this year. However, if you use a registered tax agent like us to lodge on your behalf, the due date would be the 25th of June.
If you don’t need to lodge an FBT return and you’re registered for FBT, you should still the ATO know by the date your return would have been due. Remember to keep all records relating to the fringe benefits you’ve provided, including how you calculated the taxable value of benefits.
What is Fringe Benefits Tax (FBT)?
FBT is a tax imposed on employers for benefits provided to employees, such as a company car or low-interest loans. It is calculated based on the taxable value of these benefits.
Do You Have an FBT Liability?
To determine if you have an FBT liability, you’ll need to calculate the taxable value of any benefits provided to your employees or their associates between April 1st, 2022, and March 31st, 2023.
Filing Your FBT Return and Payment
If you have an FBT liability, make sure to file an FBT return and pay the owed amount by May 22nd. And if you use a Registered Tax Agent, then you get an extended due date till the 25th of June. Even if you don’t have to file a return, let the Australian Taxation Office (ATO) know by the due date.
Keeping Records
It’s essential to keep records of all benefits provided and their taxable value for easy reference. The ATO provides a wealth of information and resources on FBT, including guidelines on calculating the taxable value of benefits, on its website.
Make sure to determine your FBT liability, file your return and pay what’s owed by the due date, and keep all relevant records. Get all the information you need on FBT at the ATO website.
