Tax-exempt body entertainment fringe benefits
This information forms Chapter 15 of Fringe benefits tax - a guide for employers.
Remember, a fringe benefit may be provided by another person on behalf of an employer. It may also be provided to another person on behalf of an employee; for example, a relative.
15.1 What is a tax-exempt body entertainment fringe benefit?
A tax-exempt body entertainment fringe benefit may arise from entertainment expenses incurred by an employer who either:
- is wholly or partially exempt from income tax
- does not derive assessable income from the activities to which the entertainment relates.
If your entity is a charity, you must be endorsed in order to be income tax-exempt.