Using FBT legislation to your advantage
Your company can save thousands of dollars through the effective use of the Fringe Benefits Tax (FBT) legislation.
The spirit of the legislation is to provide employers with the framework to attract and maintain quality employees with a greater range of tax effective benefits while not increasing payroll costs.
BDO can work with you to develop and implement strategies to reduce FBT liabilities, payroll on-costs and capital expenditure costs to your organisation.
Benefits for employers
- Attract and retain quality employees
- Streamline administration processes
- Reduce Payroll Tax and WorkCover premiums
- Lower internal costs through greater efficiency.
Benefits for employees
- Substitute taxable income with tax exempt or concessionally taxed benefits eg: Motor vehicle leases
- Various allowances (remote area, living away from home or relocation)
- Salary packaging for offshore employees
- Tools of trade
- Income protection
- Professional memberships
- Self-education expenses
Whether your goal is to use company resources more efficiently, implement FBT management strategies, increase accountability of salary expenses or maximise employee remuneration; effective use of FBT legislation can offer a wide range of benefits to employers and employees making it a true win-win opportunity.
The first step is to assess and provide a strategic review of your existing employee benefits program. The fringe benefits applicable to each employee are thoroughly assessed, including motor vehicle use plans, benefit inclusions and restrictions.
From this assessment, we formulate a framework designed to maximise each employee’s remuneration and motor vehicle policies, while adding to your business' bottom line.
Our FBT consultants provide in-depth and comprehensive assistance to companies of any size in Brisbane and across Australia, including:
- Advice on FBT and how it operates
- Pinpoint calculations of your FBT liability
- Identifying and valuing types of reportable fringe benefits
- Various FBT exemptions and concessions
- Implementing and maintaining a proper FBT record-keeping system
- Ongoing FBT consulting services and updates as legislation changes.
FBT strategies and solutions
Our salary packaging services include:
- Fringe Benefits Tax strategy
- Salary packaging
- Salary packaging assessments
- Independent fleet review
- Novated leasing and associate leasing
- Vehicle procurement and management
- Fleet vehicle financing advice and assistance
- Fleet vehicle insurance advice and management
- Fleet management and administration, including repairs and maintenance
- Fringe Benefits Tax management and reporting
- Fuel card applications and management
- Ongoing salary packaging advice and consulting.