Have you provided your employees with any perks or extras, like work vehicles, held any social events, or even paid for their personal expenses? You may need to lodge a fringe benefits tax (FBT) return and pay any FBT owed.
The FBT year runs from 1 April 2025 to 31 March 2026, so, if you've provided any perks during this time (or even think your business might have), now's the time to sort it out.
Experience a smoother FBT tax time and get it right from the start. These 4 key steps will assist you to confidently meet your FBT obligations and help you stay compliant.
- Identify the fringe benefits
Start by working out what employee perks you've provided and what type of fringe benefit they are. Don't skip this step – it's essential to help you understand what records you need to keep and to calculate your liability correctly. Ask your employees, have they taken the work vehicle on a weekend getaway to the coast? If so, it could mean FBT applies.
- Determine the taxable value
Use the relevant calculation methods to work out the taxable value for each fringe benefit you provide. This will help you calculate your total taxable amount and FBT liability correctly.
- Keep accurate records
Ensure you keep the right records to support your FBT position. The type of records you need to keep will depend on the fringe benefit provided. Your records should also show your calculations and support any exemptions or concessions claimed.
- Lodge, pay and report
Make sure to lodge and pay your FBT return on time by 21 May 2026. If you're using a tax agent, you may have until 25 June 2026.
You may also need to report any reportable fringe benefits amounts for your employees by 14 July 2026.
Don't need to lodge?
If you're registered for FBT but your FBT liability is nil, you still need to let us know by lodging a Fringe benefits tax – notice of non-lodgment.
Want to learn more about FBT?
See how fringe benefits tax works or speak to your registered tax agent who can help you with your FBT obligations.
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