ato logo
Search Suggestion:

Reportable fringe benefits for employees

Find out if fringe benefits you receive are reportable and may affect your obligations and government benefits.

Last updated 10 June 2024

What are reportable fringe benefits?

If you receive fringe benefits with a total taxable value of more than $2,000 in a fringe benefits tax (FBT) year (1 April to 31 March), your employer will report this amount to us.

Some benefits don't have to be reported to us.

To find out which benefits are excluded, and how your employer calculates the amount to report, see Reportable fringe benefits.

Reportable fringe benefits amount

The amount your employer reports is known as your reportable fringe benefits amount (RFBA).

Your RFBA is 'grossed-up' to reflect the pre-tax income you would have had to earn, at the highest marginal tax rate (plus the Medicare levy), to buy the benefits yourself.

You aren't taxed on your RFBA. It is included in income tests for some government benefits and obligations.

Your RFBA will be shown on either your:

  • income statement in ATO online services through myGov
  • payment summary.

Completing your tax return

If you lodge your tax return through a tax agent or online through myTax, you generally don't have to do anything. Your pre-filled tax return should include any RFBA.

If you lodge a paper tax return, you include your RFBA at label IT1.

Reducing your reportable fringe benefits amount

You can reduce your reportable fringe benefits by:

  • cashing out benefits – arranging with your employer to replace your fringe benefits with cash salary
  • making employee contributions out of your after-tax income towards the cost of the benefits – for example, you can make an employee contribution towards a car fringe benefit by paying for some of the operating costs
  • changing the benefits you receive to things that are exempt from FBT, such as work-related items.

Employment finished between 1 April and 30 June

If you finish employment between 1 April and 30 June, and receive fringe benefits during this time, your employer will report your RFBA for the income tax year ending on 30 June in the following year.

How your reportable fringe benefits amount affects eligibility and income tests for government benefits and obligations.