Tax and Superannuation Laws Amendment (2015 Measures No. 5) Act 2015 (162 of 2015)

Schedule 3   Limiting FBT concessions on salary packaged entertainment benefits

Fringe Benefits Tax Assessment Act 1986

2   Subsection 5B(1E) (method statement, steps 3 and 4)

Repeal the steps, substitute:

Step 3. If step 2 does not apply in respect of one or more employees of the employer, reduce the individual grossed-up non-exempt amount for each such employee by $30,000, but not below nil.

Step 4. If the amount calculated under step 2 or 3 in respect of an employee is positive, reduce that amount (but not below nil) by the lesser of:

(a) $5,000; and

(b) so much of the employee's individual grossed-up non-exempt amount as relates to benefits covered by subsection (1M) (about salary packaged meal entertainment and entertainment facility leasing benefits).

Step 5. Add together the amounts calculated under step 4in relation to the employees of the employer. The total amount is the employer's aggregate non-exempt amount for the year of tax.