31 March heralds the end of the 2016/2017 Fringe Benefits Tax (FBT) year.
While it will generally fall to your Accountant to:
-> Determine whether a fringe benefit has been provided by you to an employee or their associate (e.g. spouse)
-> Determine whether an FBT exemption applies.
-> Determine the taxable value of your fringe benefits.
-> Ascertain your FBT liability.
-> Complete and lodge your FBT return…
…there are also some things you can do to assist with this process.
You may wish to collate/detail all the instances where a private expense of an employee has been paid for by the business. If you or one of your employees is responsible for maintaining the accounting software file (entering in and coding each transaction undertaken by your business) ensure that the file is in good order. From an FBT perspective this involves coding personal expenses paid by the employer to an “employee benefits (FBT)” account in the management accounts. This will alert your Accountant to the existence of a potential fringe benefit.