Living away from home allowance fringe benefits

A living-away-from-home allowance (LAFHA) fringe benefit may arise if you pay an allowance to your employee to cover additional expenses incurred, because they are temporarily required to live away from their normal place of residence to perform their employment duties.

Access to tax concessions for LAFHA fringe benefits will generally be limited to where:

  • your employee maintains a home in Australia at which they usually reside
  • your employee provides you with a declaration about living away from home
  • the fringe benefit relates to the first 12-month period at a particular work location.

Next steps:

See also:

Last modified: 23 Jan 2015QC 43863