Work-related items exempt from FBT
Subject to the limitations below, a number of employee benefits are exempt from fringe benefits tax (FBT), including the following work-related items:
- portable electronic devices such as mobile phones, laptops, tablets, portable printers and GPS navigation receivers
- computer software
- protective clothing
- tools of trade.
The FBT exemption is limited to:
- items primarily for use in the employee's employment
- one item per FBT year for items that have a substantially identical function, unless the item is a replacement item.
From 1 April 2016, the exemption extends to small businesses that provide employees with more than one work-related portable electronic device in an FBT year – even if the devices have substantially identical functions.
You must be a small business for at least one income year that starts or ends in the relevant FBT year.
Benefits such as portable electronic devices, computer software, protective clothing and tools of trade are exempt from FBT.