Fringe Benefit Tax (FBT) is a tax paid by employers on certain benefits provided to their employees (or to their employees' family or other associates).   FBT is separate to income tax and it's calculated on the taxable value of the fringe benefit.

There are different types of fringe benefits, a few typical examples (as listed by the ATO) include:

• allowing an employee to use a work car for private purposes (therefore an odometer reading is needed);
• car parking
• paying an employee's gym membership

The FBT year is 1 April to 31 March.  On 31 March, in order to accurately account for any motor vehicle use, remember to take the odometer reading for this year's FBT year.

We will send reminders leading up to 31 March. In the weeks after that, expect to receive our annual FBT Questionnaire.