Fringe Benefits Tax Working Group key messages 6 May 2020

Introduction

Andrea Ross (Chair) opened the meeting and welcomed new members.

ATO FBT response to COVID-19

Andrea Ross outlined the priority of the ATO in responding to COVID-19. It has been to concentrate on supporting the community with a particular focus on employers. COVID-19 issues have been:

• the deferral of the 2020 FBT return lodgement and payment to 25 June
• addressing frequently asked questions around COVID-19 related issues.

Members raised various issues relating to FBT and COVID-19, including car parking, log books and influenza injections. The ATO will consider whether guidance will be published on the website of responses provided on a case by case basis.

Review of action items from previous meeting

Action item 1–Members to provide additional information for review of TD 93/142 - COMPLETED

• The ATO received two new submissions since the previous meeting and will now work through a preliminary view.

Action item 2–ATO to share examples on tax exempt body entertainment fringe benefits before publication - COMPLETED

• The ATO addressed members feedback received in relation to the proposed rewrite of chapter 15 of FBT - a guide for employers. A revised version of chapter 15 was provided to members with updated and additional examples.

Action item 3–ATO to provide view on associate leases and employee contributions at the next meeting - ONGOING

• The ATO advised that work is continuing on this topic. An update will provided at the next meeting.

Action item 4–Proposal to include additional paragraph in TR 2011/3 Fringe Benefits Tax. ATO to publish a warning against entering into these arrangements - COMPLETED.

• The ATO provided members proposed wording and advised various channels for communication are being considered.

Action item 5–Members to provide additional ideas regarding 50/50 meal entertainment valuation method for employers in the entertainment industry - COMPLETED

• The ATO has received feedback from members. Feedback will be considered and the group will be informed if further consultation is required.

Action item 6–ATO to consider whether s255-10 allows for a deferral of the payment date to 25 June - COMPLETED

• Due to the blanket COVID-19 deferrals for the 2020 FBT return, the urgency of this item has been relieved. We will continue work on an ongoing solution for future years.

Action item update

Attendees

Apologies