Non-profit organisations and fringe benefits tax

Table 1 - Calculating the individual grossed-up type 1 and 2 non-exempt amounts

Step	Action	Result
1	Establish what the employee's individual fringe benefits amount would be if the capping concession was not available. The individual fringe benefits amount is the value of all benefits, other than excluded benefits. For a list of excluded fringe benefits, refer to Reportable fringe benefits.	$xxx
2	Identify the amount of GST-creditable fringe benefits included in the amount for step 1.	$xxx (Amount 1)
3	Identify those fringe benefits not taken into account under amount 1 (that is the result from step 1 minus the result from step 2).	$xxx (Amount 3)
4	Determine the employee's share of the benefits that would be excluded fringe benefits if the capping concession was not available. For a list of excluded fringe benefits, refer to Reportable fringe benefits. Excluded benefits specifically not to be included in this calculation are listed in section 6.3.	$xxx
5	Identify the GST-creditable fringe benefits included in step 4.	$xxx (Amount 2)
6	Identify those excluded fringe benefits that are not taken into account under amount 2 (that is, the result from step 4 minus the result from step 5).	$xxx (Amount 4)
7	Add amount 1 and amount 2 (that is, the result from step 2 plus the result from step 5).	Type 1 individual base non-exempt amount
8	Use the following formula: Type 1 individual base non-exempt amount X                   FBT rate + GST rate                     (1 - FBT rate) x (1 + GST rate) x FBT rate (that is, the result from step 7 x 2.0647).	Individual grossed-up type 1 non-exempt amount
9	Add amount 3 and amount 4 (that is, the result from step 3 plus the result from step 6).	Type 2 individual base non-exempt amount
10	Use the following formula: Type 2 individual base non-exempt amount X          1            1 - FBT rate (that is, the result from step 9 x 1.8692).	Individual grossed-up type 2 non-exempt amount

After calculating the individual grossed-up type 1 and type 2 amounts, follow the steps in table 2 to calculate your FBT payable.

Sections within 6.5 Calculating the FBT exemption

• Table 1 - Calculating the individual grossed-up type 1 and 2 non-exempt amounts
• Table 2 - Calculating your FBT payable
• Example - FBT exemption capping threshold exceeded