Cars still on ATO’s FBT radar
The ATO has been reviewing car fringe benefits and using third-party data, has identified and contacted 5,000 employers who may have an unreported FBT liability.
Some outcomes of this review are:
- one employer declared four cars, resulting in a payment of over $35,000 in FBT per year. As the employer came forward voluntarily, there were no penalties; and
- other employers reviewing their situations are identifying other benefits that should have been reported (e.g., one employer reported over $40,000 in expense and meal entertainment benefits).
The ATO plans to contact another 10,000 employers by letter in 2013, and has reminded employers that:
- if they make a car available to their employees for private use, they’ll probably have an FBT liability;
- if a car is garaged at home, it is taken to be available for private use; and
- travel to and from work is generally considered private use.