Taxation Determination

TD 93/59

Fringe benefits tax: what are the new rates to be applied on a cents per kilometre basis for calculating the taxable value of a fringe benefit arising from the private use of a motor vehicle other than a car for the year commencing 1 April 1993?

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FOI status:

may be releasedFOI number: I 1214598

This Determination, to the extent that it is capable of being a 'public ruling' in terms of Part IVAAA of the Taxation Administration Act 1953 , is a public ruling for the purposes of that Part. Taxation Ruling TR 92/1 explains when a Determination is a public ruling and how it is binding on the Commissioner. Unless otherwise stated, this Determination applies to years commencing both before and after its date of issue. However, this Determination does not apply to taxpayers to the extent that it conflicts with the terms of a settlement of a dispute agreed to before the date of issue of the Determination (see paragraphs 21 and 22 of Taxation Ruling TR 92/20).

1. The rates that may be applied on a cents per kilometre basis for calculating the taxable value of a fringe benefit arising from the private use by an employee (or an associate) of a motor vehicle other than a car, have been revised to reflect movements in the Consumer Price Index.

2. Taxation Ruling MT2034 outlines a number of methods that may be used to value the benefit of the right to use an employer's motor vehicle other than:

.
a motor car, station wagon, panel van, utility truck or similar vehicle; or
.
any other road vehicle designed to carry a load of less than 1 tonne or fewer than 9 passengers.

For example, the Ruling applies to calculate the benefit arising from the use of a motor cycle or a vehicle designed to carry a load of one tonne or more.

3. The Ruling indicates that one method of valuing the benefit is to multiply the number of private kilometres travelled by employees in a vehicle during a year by a cents per kilometre rate.

4. The new rates to be applied where the cents per kilometre basis is used for the fringe benefits tax year commencing 1 April 1993 are:

Engine capacity Rate per kilometre
0 - 2500cc 29 cents
Over 2500cc 35 cents
Motor cycles 9 cents

Commissioner of Taxation
1/4/93

References

ATO references:
NO NO 90/10024-6

ISSN 1038 - 8982

Related Rulings/Determinations:

MT 2034

Subject References:
Private use of motor vehicles other than cars

Legislative References:
FBTAA Pt III Div 2,
5 and
12

TD 93/59 history
  Date: Version: Change:
You are here 1 April 1993 Original ruling  
  20 April 2016 Withdrawn