FRINGE BENEFITS TAX ASSESSMENT ACT 1986

PART III - FRINGE BENEFITS  

Division 13 - Miscellaneous exempt benefits  

SECTION 58D   EXEMPT BENEFITS - CONNECTION OR RE-CONNECTION OF CERTAIN UTILITIES AS A RESULT OF RELOCATION  

58D(1)   [Telephone service]  

Where:


(a) either of the following benefits is provided in, or in respect of, a year of tax in respect of the employment of an employee of an employer:


(i) an expense payment benefit where the recipients expenditure is in respect of the act of connecting or re-connecting a telephone service to a unit of accommodation;

(ii) a residual benefit where the recipients benefit is constituted by the act of connecting or re-connecting a telephone service to a unit of accommodation;


(b) the unit of accommodation is for the accommodation of family members;


(c) the accommodation is required solely because:


(i) the employee is required to live away from his or her usual place of residence in order to perform the duties of that employment; or

(ii) the employee is required to change his or her usual place of residence in order to perform the duties of that employment;


(d) if subparagraph (a)(i) applies - documentary evidence of the recipients expenditure is obtained by the recipient and that documentary evidence, or a copy, is given to the employer before the declaration date; and


(e) if subparagraph (c)(ii) applies:


(i) the telephone service is connected or re-connected not later than 12 months after the day on which the employee commenced to perform the duties of that employment at the employee's new place of employment;

(ii) immediately before the change, a telephone service was provided to the unit of accommodation that was the employee's usual place of residence before the change; and

(iii) the benefit was not provided under a non-arm's length arrangement;

the benefit is an exempt benefit in relation to the year of tax.

58D(2)   [Gas or electricity]  

Where:


(a) either of the following benefits is provided in, or in respect of, a year of tax in respect of the employment of an employee of an employer:


(i) an expense payment benefit where the recipients expenditure is in respect of the act of re-connecting gas or electricity to a unit of accommodation;

(ii) a residual benefit where the recipients benefit is constituted by the act of re-connecting gas or electricity to a unit of accommodation;


(b) the unit of accommodation is for the accommodation of family members;


(c) the accommodation is required solely because:


(i) the employee is required to live away from his or her usual place of residence in order to perform the duties of that employment; or

(ii) the employee is required to change his or her usual place of residence in order to perform the duties of that employment;


(d) if subparagraph (a)(i) applies - documentary evidence of the recipients expenditure is obtained by the recipient and that documentary evidence, or a copy, is given to the employer before the declaration date; and


(e) if subparagraph (c)(ii) applies:


(i) the gas or electricity is re-connected not later than 12 months after the day on which the employee commenced to perform the duties of that employment at the employee's new place of employment; and

(ii) the benefit was not provided under a non-arm's length arrangement;

the benefit is an exempt benefit in relation to the year of tax.




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