Taxation Determination

TD 93/41

Fringe benefits tax: living away from home allowance benefits : what is the reasonable food component for expatriate employees?

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FOI status:

may be releasedFOI number: I 1214388

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. This Determination itemises the amounts that we accept as a reasonable food component of a living-away-from-home allowance paid to expatriate employees in various family situations for the fringe benefits tax year ended 31 March 1993 and for the fringe benefits tax year ending 31 March 1994.

2. As can be seen, the amounts shown below apply to two consecutive fringe benefits tax years. This change enables employers to determine their fringe benefits tax liability for the year ending 31 March 1994 in advance instead of having to wait untill the end of the fringe benefits tax year. This approach is consistent with that adopted for other annual valuations for fringe benefits tax purposes eg. remote housing, non-remote housing and benchmark interest rate etc.

3. This Determination is intended to be read in conjunction with Taxation Ruling MT 2040. Updates of MT 2040 were issued for the years ended 31 March 1989 (MT 2043), 31 March 1990 (MT 2045), 31 March 1991 (MT 2047) and 31 March 1992 (MT 2051).

4. The reasonble food component for the fringe benefits tax year ended 31 March 1993 and for the fringe benefits tax year ending 31 March 1994, as shown below, has been indexed to reflect movements in the food subgroup of the Consumer Price Index:

  per week
One adult $120
Two adults $192
Three adults $216
Two adults and one child $216
Two adults and two children $216
Two adults and three children $253
Three adults and one child $253
Three adults and two children $288
Four adults $288
("Adults" for this purpose are persons aged 12 years or more)

5. In relation to larger family groupings, we accept a food component based on the above figures plus $71 for each additional adult and $35 for each additional child.

Example: A family consists of two adults and four children. The reasonable food component for the years ended 31 March 1993 and 1994 would be $288, that is, $253 plus $35. A family of five adults would have a reasonable food component for the years ended 31 March 1993 and 1994 of $359, that is, $288 plus $71.

Commissioner of Taxation
18/3/93

References

ATO references:
NO NO 87/1500-9

ISSN 1038 - 8982

Related Rulings/Determinations:

MT2030
MT 2040
MT 2043
MT 2045
MT 2047
MT 2051

Subject References:
Fringe benefits tax;
living away from home allowances

Legislative References:
FBTAA 30;
31;
136

TD 93/41 history
  Date: Version: Change:
You are here 18 March 1993 Original ruling  
  20 April 2016 Withdrawn  

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