In February 2018, the Minister for Revenue and Financial Services wrote to the Board requesting that the Board conduct a comprehensive review of the compliance costs associated with obligations under Fringe Benefits Tax (FBT) legislation. The Minister also requested that the Board examine the approach in comparable countries to the taxation of fringe benefits provided by employers to their employees.
In August 2018, the Board announced the formation of a working group and to commence research.
- The Board has formed a working group made up of representatives from the Australian Taxation Office, Treasury, academia, the G100 and professional firms.
- As part of the review, the Board is conducting a number of research initiatives to estimate and identify reasons for compliance costs. This includes conducting focus groups, online surveys and case study interviews. Further information on each initiative and how you can participate is outlined below.
The Board encourages all relevant stakeholders to participate in our research initiatives where possible. Your participation will help the Board formulate its recommendations by identifying areas where we can reduce the time and compliance cost associated with complying with their FBT obligations.
The Board is intending to provide its advice based on this research to the Government in early 2019.
FJM 19.8.18
[Board of Taxation website: FBT Compliance Costs; KPMG 2.8.18; LTN 148, 3/8/18; Tax Month – August 2018]
Comprehension questions (answers available)
- Did the Minister refer the FBT costs inquiry to the Board in August 2018?
- Has the Board formed a working group, for this inquiry?
- Is the Board inviting research undertakings?
