Fringe Benefits Tax Assessment Act 1986

s 123 — Retention of statutory evidentiary documents

(1) For the purposes of Part III, where an employer fails to retain, for the retention period, a statutory evidentiary document given to or made by the employer, the statutory evidentiary document shall be deemed never to have been given to or made by the employer. (2) For the purposes of sections 10A and 10B, where an employer fails to retain, for the retention period, statutory evidentiary documents, being log book records or odometer records maintained by or on behalf of the employer, those documents shall be deemed never to have been maintained. (3) For the purposes of subparagraph 24(1)(c)(ia) or (i), where an employer fails to retain, for the retention period, statutory evidentiary documents, being substitute documentary evidence maintained by or on behalf of the employer, those documents shall be deemed never to have been maintained. (4) Where: (a) a statutory evidentiary document (in this subsection referred to as the original document ) in relation to an employer is lost or destroyed; and (b) the employer has a document (the substitute document ) that: (i) is a copy of the original document; or (ii) properly records all of the matters as set out in the original document and was in existence when the original document was lost or destroyed; the substitute document shall be deemed, for the purposes of this section, to be, and to have been at all times after the original document was lost or destroyed, the original document. (5) Where: (a) a statutory evidentiary document in relation to an employer is lost or destroyed; and (b) the Commissioner is satisfied that: (i) the employer took all reasonable precautions to prevent loss or destruction of the document; and (iii) subsection (4) does not apply in relation to the document; and subsection (1), (2) or (3), as the case requires, does not apply, and shall be deemed not to have applied, at any time after the document was lost or destroyed. (6) Where: (a) a provision of this Act makes provision for a person to give a statutory evidentiary document (in this subsection referred to as the original document ) to an employer; (b) the original document is lost or destroyed before it is given to the employer; and (c) the Commissioner is satisfied that: (i) the person took all reasonable precautions to prevent loss or destruction of the document; and (iii) the person does not have a document that: (A) is a copy of the original document; or (B) properly records all of the matters set out in the original document and was in existence when the original document was lost or destroyed; and that provision of this Act has effect as if the original document had been given by the person to the employer and had been retained by the employer for the retention period. (7) Nothing in section 74 prevents the amendment of an assessment for the purpose of giving effect to this section.

Amendment history: Amended by No 139 of 1987, effective 18 Dec 1987 | Amended by No 145 of 1995, effective 12 Dec 1995 | Amended by No 41 of 1998, effective Schedule 5 (items 1–15, 20): Royal Assent

s 123AA — Alternatives to statutory evidentiary documents

(1) For the purposes of the operation of this Act in relation to a year of tax, a person who is an employer is taken to keep and retain a statutory evidentiary document at a time if: (a) a determination under subsection (2) is in force at that time; and (b) the determination specifies the year of tax; and (c) the statutory evidentiary document is in a class of statutory evidentiary documents specified in the determination for the year of tax; and (d) the person is in a class of persons specified in the determination for that class of statutory evidentiary documents for the year of tax; and (e) the person keeps and retains, at that time, alternative documents or records of a kind specified in the determination for that class of persons for that class of statutory evidentiary documents for the year of tax. (2) The Commissioner may, by legislative instrument, make a determination that specifies all of the following: (a) one or more years of tax; (b) one or more classes of statutory evidentiary documents for a specified year of tax; (c) one or more classes of persons for a specified class of statutory evidentiary documents for a specified year of tax; (d) one or more kinds of alternative documents or records for a specified class of persons for a specified class of statutory evidentiary documents for a specified year of tax. (3) For the purposes of paragraph (2)(d), the determination may specify a kind of documents or records only if the Commissioner is reasonably satisfied that the kind of documents or records is, for the purposes of this Act, an adequate alternative to the class of statutory evidentiary documents for which it is specified.

Amendment history: Inserted by No 29 of 2023, effective sch 3: 1 July 2023 (s 2(1) item 2)

s 123A — When business use percentage and estimate of business kilometres must be specified

If a provision requires a business use percentage or an estimate of the number of business kilometres to be specified, it must be specified in writing on or before the declaration date for the FBT year.

Amendment history: Inserted by No 11 of 1989, effective 16 Mar 1989 | Repealed and substituted by No 145 of 1995, effective 12 Dec 1995

s 123B — Substantiation requirements not to apply in special circumstances

(1) The substantiation rules do not apply in relation to a benefit if the nature and quality of evidence that a person has satisfies the Commissioner that the taxable value of the benefit is not greater than the amount specified in the taxpayer’s return for the FBT year as the taxable value of that benefit. (3) The Commissioner may only make a decision under subsection (1): (a) in the course of reviewing on the Commissioner’s own motion the affairs of the employer; or (b) in considering an objection against the assessment of the employer of the year of tax; or (c) in considering whether to make an amendment of the assessment of the employer of the year of tax in response to a request made by the employer before the commencement of this section. (4) This section does not apply to a declaration made for the purposes of this Act. (6) This section applies to a benefit provided before, at or after the commencement of this section.

Amendment history: Inserted by No 35 of 1992, effective 25 May 1992 | Amended by No 145 of 1995, effective 12 Dec 1995 | Amended by No 38 of 2024, effective sch 1 (items 27, 28): 14 Oct 2024 (s 2(1) item 2)

s 123C — Endorsement by Commissioner as public benevolent institution

(1) The Commissioner must endorse an entity as a public benevolent institution if: (a) the entity is entitled to be endorsed as a public benevolent institution (see subsection (2)); and (b) the entity has applied for that endorsement in accordance with Division 426 in Schedule 1 to the Taxation Administration Act 1953 . (2) An entity is entitled to be endorsed as a public benevolent institution if the entity: (a) is a registered public benevolent institution; and (b) has an ABN; and (c) is not an employer in relation to which step 2 of the method statement in subsection 5B(1E) applies.

Amendment history: Inserted by No 95 of 2004, effective Sch 10 (items 18–27, 43, 44(3)): 1 July 2005 (s 2 (1) item 8) | Amended by No 169 of 2012, effective Sch 2 (items 42–58, 60–67) and Sch 4 (items 1–3): 3 Dec 2012 (s 2(1) items 3, 12) Sch 4 (items 16–20): never commenced (s 2(1) item 13)

s 123D — Endorsement by Commissioner as health promotion charity

(1) The Commissioner must endorse an entity as a health promotion charity if: (a) the entity is entitled to be endorsed as a health promotion charity (see subsection (2)); and (b) the entity has applied for that endorsement in accordance with Division 426 in Schedule 1 to the Taxation Administration Act 1953 . (2) An entity is entitled to be endorsed as a health promotion charity if the entity: (a) is a registered health promotion charity; and (b) has an ABN; and (c) is not an employer in relation to which step 2 of the method statement in subsection 5B(1E) applies.

Amendment history: Inserted by No 95 of 2004, effective Sch 10 (items 18–27, 43, 44(3)): 1 July 2005 (s 2 (1) item 8) | Amended by No 169 of 2012, effective Sch 2 (items 42–58, 60–67) and Sch 4 (items 1–3): 3 Dec 2012 (s 2(1) items 3, 12) Sch 4 (items 16–20): never commenced (s 2(1) item 13)

s 123E — Endorsement by Commissioner as registered charity (other than public benevolent institution or health promotion charity)

(1) The Commissioner must endorse an entity as a registered charity covered by table item 1 in subsection 65J(1) if: (a) the entity is entitled to be endorsed as a registered charity covered by table item 1 in subsection 65J(1) (see subsection (2)); and (b) the entity has applied for that endorsement in accordance with Division 426 in Schedule 1 to the Taxation Administration Act 1953 . (2) An entity is entitled to be endorsed as a registered charity covered by table item 1 in subsection 65J(1) if the entity: (a) is a registered charity covered by column 1 of that table item; and (aa) satisfies the special conditions set out in that table item (other than the condition relating to endorsement under subsection (1) of this section); and (b) has an ABN.

Amendment history: Inserted by No 95 of 2004, effective Sch 10 (items 18–27, 43, 44(3)): 1 July 2005 (s 2 (1) item 8) | Amended by No 63 of 2005, effective Sch 4: 1 July 2005 (s 2(1) item 3) | Amended by No 169 of 2012, effective Sch 2 (items 42–58, 60–67) and Sch 4 (items 1–3): 3 Dec 2012 (s 2(1) items 3, 12) Sch 4 (items 16–20): never commenced (s 2(1) item 13) | Amended by No 124 of 2013, effective Sch 11 (items 10–25, 27): 30 June 2013 (s 2(1) item 17)

s 124 — Assessments

(1) Where the Commissioner does not have sufficient information to make an assessment of the fringe benefits taxable amount of an employer of a year of tax, that fringe benefits taxable amount shall be deemed, for the purposes of making an assessment under this Act, to be such amount as, in the opinion of the Commissioner, might reasonably be expected to be that fringe benefits taxable amount. (2) In determining whether an assessment is correct, any determination, opinion or judgment of the Commissioner made, held or formed in connection with the consideration of an objection against the assessment shall be deemed to have been made, held or formed when the assessment was made.

s 124A — Assessment on assumption

(1) Subject to subsection (4), where: (a) an employee of an employer has derived eligible foreign remuneration or foreign earnings during a year of tax; and (b) at the time of making an assessment of the fringe benefits taxable amount of the employer of the year of tax, it is reasonable to assume that, at a later time, circumstances will exist because of which that eligible foreign remuneration or foreign earnings, as the case may be, will be exempt income by virtue of section 23AF or 23AG of the Income Tax Assessment Act 1936 ; this Act applies as if those circumstances existed at the time of making that assessment. (2) Subject to subsection (4), where, at the time of making an assessment of the fringe benefits taxable amount of an employer of a year of tax, it is reasonable to assume that, at a later time, circumstances will exist because of which a benefit provided in respect of the employment of an employee of the employer in, or in respect of, the year of tax will be an exempt benefit by virtue of section 58B, 58C or 58D, this Act applies as if those circumstances existed at the time of making that assessment. (3) Subject to subsection (4), where: (a) a fringe benefit (in this subsection called the temporary accommodation fringe benefit ) of a kind referred to in paragraph 61C(1)(a) is provided in, or in respect of, a year of tax in respect of the employment of an employee of an employer; and (b) at the time of making an assessment of the fringe benefits taxable amount of the employer of the year of tax, it is reasonable to assume that, at a later time, circumstances will exist because of which section 61C will apply to reduce the taxable value of the temporary accommodation fringe benefit in relation to the year of tax by a particular amount; this Act applies as if those circumstances existed at the time of making that assessment. (4) Where this Act has, by virtue of subsection (1), (2) or (3), applied on the basis that a circumstance that did not exist at the time of making an assessment would exist at a later time and the Commissioner, after making the assessment, becomes satisfied that that circumstance will not exist, then, notwithstanding section 74, the Commissioner may amend the assessment at any time for the purposes of ensuring that this Act shall be taken always to have applied on the basis that that circumstance did not exist.

Amendment history: Inserted by No 139 of 1987, effective 18 Dec 1987 | Amended by No 100 of 1991, effective s 3, 5, 7, 10, 12, 13, sch 1: 27 June 1991 (s 2(1)) s 4, 6, 8, 9, 11: 28 June 1991 (s 2(2))

s 129 — Agents and trustees

(1) The following provisions of this section apply in relation to a person (in this section referred to as the representative ) being: (a) a person who, as agent for an employer, provides or arranges for the provision of benefits that are fringe benefits in relation to the employer; (b) an employer in the capacity of a trustee, being an employer in relation to whom fringe benefits are provided; or (c) a trustee in respect of the affairs of an employer where the trustee, as trustee, provides or arranges for the provision of benefits that are fringe benefits in relation to the employer. (2) The representative: (a) shall furnish returns in relation to the fringe benefits; and (b) is liable to any tax payable in respect of the provision of the fringe benefits; but only in the capacity of agent or trustee, as the case requires, and each such return shall be separate and distinct from any other return furnished or lodged by the representative. (3) The representative is, by force of this section: (a) authorised and required to retain from time to time any money that comes to the representative in the capacity as agent for the other person or trustee of the trust estate, or so much of it as is sufficient to pay the amount of tax; (b) made personally liable for the amount of tax after it becomes payable to the extent of any amount that the representative is required to retain under paragraph (a); and (c) indemnified for all payments that the representative makes pursuant to this section. (4) For the purposes of ensuring payment of the amount of tax, the Commissioner has the same remedies against attachable property of any kind vested in, under the control or management of, or in the possession of, the representative as the Commissioner would have against the property of any other person in respect of an amount of tax payable by the other person. (5) In this section, unless the contrary intention appears, tax includes additional tax under section 93.

Amendment history: Amended by No 2 of 2015, effective Sch 2 (item 22): 1 July 2015 (s 2(1) item 4) Sch 2 (items 73, 76–87, 95–99) and Sch 4 (items 67–69, 79): 25 Feb 2015 (s 2(1) items 5, 6)

s 132 — Records to be kept and preserved

(1) An employer shall: (a) keep records that record and explain all transactions and other acts engaged in by the employer or any other person that are relevant for the purpose of ascertaining the employer’s liability under this Act; and (b) retain those records, and any records given to the employer under paragraph (2)(b), for a period of 5 years after the completion of the transactions or acts to which they relate. Penalty: 30 penalty units. Note: There is an exemption from the requirements of this subsection in certain cases: see Part XIA (Record keeping exemption). (2) Where an associate of an employer provides, or arranges for the provision of, fringe benefits to, or to associates of, employees of the employer, the associate shall: (a) keep records that record and explain all transactions and other acts engaged in by the associate or any other person in respect of the provision of those fringe benefits, being transactions or acts that are relevant for the purpose of ascertaining the employer’s liability under this Act; (b) give to the employer a copy of the records, so far as they relate to a year of tax, not later than 21 days after the end of that year of tax; and (c) retain those records for a period of 5 years after the completion of the transactions or acts to which they relate. Penalty: 30 penalty units. (3) A person who is required by this section to keep records shall keep the records: (a) in writing in the English language or so as to enable the records to be readily accessible and convertible into writing in the English language; and (b) so as to enable the employer’s liability under this Act to be readily ascertained. Penalty: 30 penalty units. (4) Nothing in this section shall be taken to require a person (in this subsection referred to as the record keeper ) to keep a record of information relating to a transaction or act engaged in by another person if: (a) where the transaction or act was entered into or done under an arrangement to which the record keeper was a party: (i) the record keeper made all reasonable efforts: (A) to ascertain whether the transaction had been entered into or the act had been done; and (B) to obtain the information; and (ii) did not know, and could not reasonably be expected to have known, the information; or (b) in any other case—the record keeper did not know, and could not reasonably be expected to have known, the information. (5) Nothing in this section shall be taken to require a person to retain records where: (a) the Commissioner has notified the person that retention of the records is not required; or (b) the person is a company that has gone into liquidation and been finally dissolved. (6) An offence under this section is an offence of strict liability. Note 1: For strict liability, see section 6.1 of the Criminal Code . Note 2: There is an administrative penalty if you do not keep or retain records as required by this section: see section 288 ‑ 25 in Schedule 1 to the Taxation Administration Act 1953 . Note 3: See section 4AA of the Crimes Act 1914 for the current value of a penalty unit.

Amendment history: Amended by No 145 of 1995, effective 12 Dec 1995 | Amended by No 16 of 1999, effective Schedule 2, Schedule 3 (items 1–7, 12) and Schedule 12: 9 Apr 1999 (s 2(1)) | Amended by No 91 of 2000, effective Sch 2 (items 8, 8A, 9–12): 1 July 2000 (s 3(1)) Sch 2 (items 148–157): 1 Apr 2001 (s 3(3)) | Amended by No 84 of 2013, effective Sch 7 and Sch 8 (items 20–26): 28 June 2013 (s 2(1) items 2, 4)

s 132A — Written evidence not available when return lodged

(1) This section applies if: (a) a provision of this Act requires documentary evidence of an expense to be given to, or obtained by, an employer before the declaration date for an employer for an FBT year; and (b) at the date of lodgment of the employer’s return of the fringe benefits taxable amount for the FBT year: (i) the employer has not been given, or has not obtained, the documentary evidence; but: (ii) the employer has good reason to expect that he or she will be given, or will obtain, that evidence within a reasonable time. (2) If this section applies: (a) the employer may complete his or her return as if the documentary evidence had been given to, or obtained by, him or her by the date of lodgment; and (b) if the evidence is given to, or obtained by, the employer within a reasonable time—this Act applies as if the documentary evidence had been given to, or obtained by, the employer before the declaration date; and (c) if the evidence is not given to, or obtained by, the employer within a reasonable time—the employer must notify the Commissioner in writing that the evidence has not been obtained.

Amendment history: Inserted by No 145 of 1995, effective 12 Dec 1995

s 134 — Service on partnerships and associations

Service, whether by post or otherwise, of a notice or document on a member of a partnership or on a member of the committee of management of an unincorporated association or other body of persons shall be deemed, for the purposes of this Act, to constitute service of the notice or other document on each member of the partnership or each member of the association or other body of persons, as the case may be.

s 135 — Regulations

The Governor ‑ General may make regulations, not inconsistent with this Act, prescribing all matters: (a) required or permitted by this Act to be prescribed; or (b) necessary or convenient to be prescribed for carrying out or giving effect to this Act; and, in particular, may make regulations prescribing penalties not exceeding a fine of 5 penalty units for offences against the regulations.

Amendment history: Amended by No 143 of 2007, effective Sch 1 (items 9–17, 222, 225, 226) and Sch 7 (items 7, 8, 104(1)): 24 Sept 2007 (s 2(1) items 2, 11)

s 135A — Overview of Part

(1) Basically, this Part provides that, if certain conditions are satisfied, an employer need not keep or retain most of the records otherwise required to be kept and retained under subsection 132(1). (2) If the conditions are satisfied, the employer’s FBT liability is generally worked out using the aggregate fringe benefits amount from a previous FBT year (the base year ) instead of the current FBT year.

Amendment history: Inserted by No 16 of 1999, effective Schedule 2, Schedule 3 (items 1–7, 12) and Schedule 12: 9 Apr 1999 (s 2(1))

s 135B — Conditions that must be satisfied

(1) This section has 2 conditions that must be satisfied for Division 3 to apply to an employer for an FBT year (the current year ). First condition: base year established (2) Either of the following must be true: (a) the FBT year immediately before the current year was a base year (see section 135C) of the employer; or (b) some other FBT year before the current year was a base year of the employer and section 135G applied to the employer for every FBT year after that base year but before the current year. Second condition: no Commissioner’s notice in previous year (3) The employer must not have been given a paragraph 135E(2)(c) notice by the Commissioner during the FBT year immediately before the current year.

Amendment history: Inserted by No 16 of 1999, effective Schedule 2, Schedule 3 (items 1–7, 12) and Schedule 12: 9 Apr 1999 (s 2(1))

s 135C — What is a base year?

(1) An FBT year is a base year of an employer if: (a) the employer carries on business operations throughout the FBT year; and (b) the employer lodges an FBT return for the FBT year within the time allowed for doing so under section 68; and (c) as at the declaration date for the FBT year, the employer has kept and retained all the records that are (ignoring section 135E) required to be kept and retained under subsection 132(1) in relation to the employer’s liability under this Act for the FBT year; and (d) the employer’s aggregate fringe benefits amount for the FBT year does not exceed the exemption threshold (see subsections (2) and (3)) for the year; and (e) section 135G does not apply to the employer for the FBT year (that section allows employers to work out their liability to pay tax using their aggregate fringe benefits amount from a previous base year, instead of the current FBT year). Exemption threshold for 1996 ‑ 97 FBT year (2) The exemption threshold for the FBT year beginning on 1 April 1996 is $5,000. Exemption threshold for later FBT years (3) The exemption threshold for a later FBT year is the amount worked out using the formula: where: exemption threshold is the exemption threshold for the previous FBT year. indexation factor is the number worked out, to 3 decimal places (rounding up if the fourth decimal place is 5 or more), under subsection (4) for the later FBT year. Indexation factor (4) The indexation factor for an FBT year is the greater of: (a) 1; and (b) the number worked out using the formula: (5) In subsection (4): earlier December year means the period of 12 months immediately before the most recent December year. index number , for a quarter, means the All Groups Consumer Price Index number for the quarter (being the weighted average of the 8 capital cities) first published by the Australian Statistician for the quarter. most recent December year means the period of 12 months ending on 31 December immediately before the FBT year for which the threshold is being worked out. Disregard new publications (6) If the Australian Statistician publishes an index number for a quarter in substitution for an index number previously published for that quarter, disregard the later publication. Changed index reference period (7) However, if the Australian Statistician changes the index reference period for the Consumer Price Index, take into account only the index numbers published in terms of the new index reference period. Rounding down to whole dollar amount (8) Round the subsection (3) result down to the nearest whole dollar (if the result is not already a number of whole dollars).

Amendment history: Inserted by No 16 of 1999, effective Schedule 2, Schedule 3 (items 1–7, 12) and Schedule 12: 9 Apr 1999 (s 2(1)) | Amended by No 145 of 2015, effective Sch 4 (items 11–15): 10 Dec 2015 (s 2(1) item 7)

s 135D — Consequences

This Division has the consequences that apply if both conditions in section 135B are satisfied in relation to an employer for an FBT year (the current year ).

s 135E — Exemption from keeping records

(1) Subsection 132(1) (which requires certain records to be kept and retained) does not apply to the employer in relation to the employer’s liability under this Act for the current year. Records the employer must still keep (2) However, subsection 132(1) still applies in relation to the employer’s liability under this Act for the current year so far as it relates to the following: (a) copies of records that an associate of the employer gives the employer under paragraph 132(2)(b); (b) benefits provided at a time when the employer was: (i) a government body (see subsection 136(1)); or (ii) a person all of whose income is exempt from income tax; (c) benefits provided after the Commissioner has given the employer a written notice under this paragraph, during the current year, requiring the employer to resume keeping records.

s 135F — Keeping records for 5 years after they are last relied on

The period in paragraph 132(1)(b) for retaining records relating to the employer’s liability under this Act in respect of the employer’s most recent base year is extended (or further extended) to 5 years after the end of the current year (if the period is not already that long).

s 135G — Way to work out liability

The employer’s liability to pay tax under section 66 is worked out using the employer’s aggregate fringe benefits amount for the employer’s most recent base year, instead of for the current year.

s 135H — Exception if employer chooses to use current year aggregate fringe benefits amount

Section 135G does not apply if the employer chooses to work out his or her liability using the employer’s aggregate fringe benefits amount for the current year.

s 135J — Exception if employer is government body or tax ‑ exempt

Section 135G does not apply if the employer is: (a) a government body (see subsection 136(1)); or (b) a person all of whose income is exempt from income tax; at any time during the current year.

Amendment history: Inserted by No 16 of 1999, effective Schedule 2, Schedule 3 (items 1–7, 12) and Schedule 12: 9 Apr 1999 (s 2(1))

s 135K — Exception if aggregate fringe benefits amount increases too much

(1) Section 135G does not apply if the employer’s aggregate fringe benefits amount for the current year is more than 20% greater than it was for the employer’s most recent base year (unless the difference is $100 or less). Example: The aggregate fringe benefits amount was $100 for the most recent base year and $180 for the current year. This is 80% greater—well over the 20% limit. But section 135G can still apply because the difference is only $80. Special rules for applying this test (2) In working out, for the purposes of subsection (1), the employer’s aggregate fringe benefits amount for the current year, apply the following rules. Section 123 disregarded (3) Disregard the effect of section 123 (which deals with failing to retain statutory evidentiary documents). Special rule for car fringe benefits—cost basis method used in earlier year (5) If: (a) for the employer’s first car benefit year (if any—see subsection (6)), the employer used the method in section 10 (cost basis) to determine the taxable value of one or more car fringe benefits relating to a particular car; and (b) the employer uses the same method for that car, or for a car provided as a replacement of that car, for the current year; and (c) the business use percentage (see subsection 136(1)) for the current year is not lower than the business use percentage for the first car benefit year by more than 20 percentage points; the employer may, in using that same method, use the business use percentage for the car from the first car benefit year, instead of from the current year. Meaning of first car benefit year (6) In subsections (4) and (5), the employer’s first car benefit year is the first FBT year (if any) in the period: (a) beginning with the employer’s most recent base year; and (b) ending with the FBT year immediately before the current year; during which one or more car fringe benefits were provided in relation to the employer.

Amendment history: Inserted by No 16 of 1999, effective Schedule 2, Schedule 3 (items 1–7, 12) and Schedule 12: 9 Apr 1999 (s 2(1)) | Amended by No 62 of 2011, effective Sch 5 (items 1–9): 29 June 2011 (s 2(1) item 7) Sch 5 (items 10–12): 1 Apr 2016 (s 2(1) item 8)

s 135L — Employer not in business throughout current year

(1) This section applies if the employer does not carry on business operations throughout the current year. Pro ‑ rata reduction of base year aggregate fringe benefits amount (2) For the purposes of sections 135G and 135K, the employer’s aggregate fringe benefits amount for the employer’s most recent base year is replaced by the amount worked out using the following formula:

Amendment history: Inserted by No 16 of 1999, effective Schedule 2, Schedule 3 (items 1–7, 12) and Schedule 12: 9 Apr 1999 (s 2(1))

s 135M — Simplified outline of this Part

The following is a simplified outline of this Part: An employee’s reportable fringe benefits total for a year of income is the sum of each of the employee’s reportable fringe benefits amounts for the year of income (see section 135N). (The total is taken into account under other Acts; for example in working out some income tax rebates, Medicare levy surcharge and superannuation surcharge and whether the employee must make a repayment of a debt under the Higher Education Support Act 2003 .) An employee’s reportable fringe benefits amount from an employer is generally the grossed ‑ up value of the employee’s individual fringe benefits amount from that employer (see section 135P). Special rules apply for working out the employee’s reportable fringe benefits amount in respect of the employee’s employment if the benefits provided in respect of the employment include exempt benefits under section 57A or 58 (about employment with public benevolent institutions, certain hospitals, public ambulance services, health promotion charities and bodies providing care for sick, elderly or disadvantaged persons) (see section 135Q).

Amendment history: Inserted by No 17 of 1999, effective Schedule 1 (items 1–16): 19 Apr 1999 (s 2(1)) | Amended by No 150 of 2003, effective Sch 2 (item 103): 1 Jan 2004 (s 2(1) item 8) | Amended by No 83 of 2004, effective Sch 4 and Sch 8 (items 1–3, 5–8): 25 June 2004 (s 2(1) items 1, 18) Sch 8 (item 4): 1 July 2005 (s 2(1) item 19) | Amended by No 95 of 2004, effective Sch 10 (items 18–27, 43, 44(3)): 1 July 2005 (s 2 (1) item 8) | Amended by No 56 of 2010, effective Sch 6 (item 16): 3 June 2010 (s 2 (1) item 15)

s 135N — Employee’s reportable fringe benefits total

An employee’s reportable fringe benefits total for a year of income is the sum of each of the employee’s reportable fringe benefits amounts for the year of income in respect of the employee’s employment by an employer. Example: Sylvia employs Angela, who has a reportable fringe benefits amount of $3,000 for the 1999 ‑ 2000 year of income from her employment by Sylvia. Angela is also an employee of Geoff, and has a reportable fringe benefits amount of $4,000 for that year of income from her employment by Geoff. Angela’s reportable fringe benefits total for the 1999 ‑ 2000 year of income is $7,000.

Amendment history: Inserted by No 17 of 1999, effective Schedule 1 (items 1–16): 19 Apr 1999 (s 2(1))

s 135P — Employee’s reportable fringe benefits amount —general rule

Does an employee have a reportable fringe benefits amount? (1) An employee has a reportable fringe benefits amount for a year of income in respect of the employee’s employment by an employer if the employee’s individual fringe benefits amount for the year of tax ending on 31 March in the year of income in respect of the employee’s employment by the employer is more than $2,000. Example 1: On 31 May 2007, Sylvia waives a debt of $2,545 that her employee Angela owes her, thus providing Angela with a debt waiver fringe benefit with a taxable value of $2,545 for the year of tax ending on 31 March 2008. Angela has a reportable fringe benefits amount for the year of income ending on 30 June 2008 in respect of her employment by Sylvia. Example 2: On 1 March 2008, Angela’s employer Neil waives a debt of $1,900 Angela owes him, providing Angela with a debt waiver fringe benefit with a taxable value of $1,900 for the year of tax ending on 31 March 2008. However, he does not provide any other fringe benefits for that year of tax in respect of her employment, so Angela does not have a reportable fringe benefits amount for the year of income ending on 30 June 2008 in respect of her employment by Neil. Size of the reportable fringe benefits amount (2) The reportable fringe benefits amount is the amount worked out using the formula: where: individual fringe benefits amount is the employee’s individual fringe benefits amount for the year of tax in respect of the employee’s employment by the employer. Exempt car benefits for zero or low emissions vehicles are included (3) In working out the employee’s individual fringe benefits amount for the purposes of this section, disregard section 8A (Exempt car benefits: zero or low emissions vehicles).

Amendment history: Inserted by No 17 of 1999, effective Schedule 1 (items 1–16): 19 Apr 1999 (s 2(1)) | Amended by No 110 of 2006, effective Sch 1: 1 Apr 2007 (s 2(1) item 2) | Amended by No 86 of 2022, effective sch 1: 1 Jan 2023 (s 2(1) item 2) sch 2: 1 Apr 2025 (s 2(1) item 3)

s 135Q — Reportable fringe benefits amount for some employees of certain institutions

Overview (1) This section explains how to work out whether an employee has a reportable fringe benefits amount for a year of income in respect of the employee’s employment by an employer described in section 57A or 58, and the size of that amount, if: (a) a benefit is provided in respect of the employee’s employment by the employer; and (b) the benefit is an exempt benefit because of one of those sections; and (c) apart from those sections and section 8A, the benefit would be a fringe benefit relating to the employee, the employer and the year of tax ending on 31 March in the employee’s year of income. Note: Section 57A deals with public benevolent institutions, certain registered charities, employers of employees connected with certain hospitals and employers of employees connected with public ambulance services. Section 58 deals with persons employed by government bodies, religious institutions and non ‑ profit companies to care for the elderly or disadvantaged. Section 8A exempts car benefits for zero or low emissions vehicles. Does an employee have a reportable fringe benefits amount? (2) The employee has a reportable fringe benefits amount (worked out under subsection (4)) for the year of income in respect of the employee’s employment by the employer if the sum of the following is more than $2,000: (a) the employee’s individual fringe benefits amount (if any) for the year of tax ending on 31 March in the year of income in respect of the employee’s employment by the employer; (b) the employee’s individual quasi ‑ fringe benefits amount for the year of tax ending on 31 March in the year of income in respect of the employee’s employment by the employer. Note: An employee of an employer described in section 57A will not have an individual fringe benefits amount from that employer, because all benefits provided in respect of employment by that employer are exempt benefits. What is the employee’s individual quasi ‑ fringe benefits amount ? (3) The employee’s individual quasi ‑ fringe benefits amount is the amount that would be the employee’s individual fringe benefits amount for the year of tax in respect of the employee’s employment by the employer if: (a) each benefit described in subsection (1) in relation to the employee, employer and year of tax were a fringe benefit; and (b) there were no other fringe benefits relating to the employee, the employer and the year of tax. Note: Section 5E explains how to work out the employee’s individual fringe benefits amount for the year of tax. Size of the reportable fringe benefits amount (4) The reportable fringe benefits amount is the amount worked out using the formula: where: individual fringe benefits amount is the employee’s individual fringe benefits amount (if any) for the year of tax in respect of the employee’s employment by the employer. individual quasi ‑ fringe benefits amount is the employee’s individual quasi ‑ fringe benefits amount for the year of tax in respect of the employee’s employment by the employer. rate of tax is the rate of tax for the year of tax. Relationship with section 135P (5) This section has effect despite section 135P.

Amendment history: Inserted by No 17 of 1999, effective Schedule 1 (items 1–16): 19 Apr 1999 (s 2(1)) | Amended by No 52 of 2000, effective Sch 1: 30 May 2000 (s 2) | Amended by No 167 of 2001, effective Sch 1 and Sch 4 (items 1–4): 1 Oct 2001 (s 2(1)) | Amended by No 83 of 2004, effective Sch 4 and Sch 8 (items 1–3, 5–8): 25 June 2004 (s 2(1) items 1, 18) Sch 8 (item 4): 1 July 2005 (s 2(1) item 19) | Amended by No 110 of 2006, effective Sch 1: 1 Apr 2007 (s 2(1) item 2) | Amended by No 124 of 2013, effective Sch 11 (items 10–25, 27): 30 June 2013 (s 2(1) item 17) | Amended by No 86 of 2022, effective sch 1: 1 Jan 2023 (s 2(1) item 2) sch 2: 1 Apr 2025 (s 2(1) item 3)

s 135R — Application of this Part

This Part applies in relation to the year of tax starting on 1 April 2001 and later years of tax.

Amendment history: Inserted by No 167 of 2001, effective Sch 1 and Sch 4 (items 1–4): 1 Oct 2001 (s 2(1))

s 135S — Nomination of eligible State or Territory bodies

(1) The following: (a) a State; or (b) the Australian Capital Territory; or (c) the Northern Territory; may nominate an eligible State or Territory body for the purposes of this Part. Form and content etc. of nomination (2) The nomination: (a) must be in the approved form; and (b) must specify the first year of tax in relation to which the nomination is to have effect; and (c) may specify that a class or classes of employees are to be taken to have a sufficient connection with the body for the purposes of subsection 135U(3); and (d) must be given to the Commissioner on or before 21 May in the year of tax specified under paragraph (b). When nomination has effect (3) Subject to subsection (5), the nomination has effect in relation to the body in relation to the first year of tax as specified in the nomination and in relation to all later years of tax. Avoidance of doubt (4) To avoid doubt: (a) the State or Territory may nominate more than one eligible State or Territory body; and (b) the State or Territory may make nominations at different times (including in different years of tax); and (c) if the State or Territory nominates more than one eligible State or Territory body, it need not specify the same first year of tax for them. Variation or revocation of nomination (5) The nomination may be varied or revoked, but a variation or revocation: (a) must be in the approved form; and (b) must specify the first year of tax in relation to which the variation or revocation is to have effect; and (c) must be given to the Commissioner on or before 21 May in that first year of tax. Nominated State or Territory bodies (6) For each year of tax during which the nomination has effect in relation to an eligible State or Territory body, the body is a nominated State or Territory body .

Amendment history: Inserted by No 167 of 2001, effective Sch 1 and Sch 4 (items 1–4): 1 Oct 2001 (s 2(1))

s 135T — Eligible State or Territory bodies

(1) Each of the following is an eligible State or Territory body : (a) a Department within the meaning of subsection 3(1) of the Government Sector Employment Act 2013 (NSW); (b) a public service body within the meaning of subsection 4(1) of the Public Administration Act 2004 (Vic.); (c) a department within the meaning of section 7 of the Public Service Act 2008 (Qld); (d) a department within the meaning of section 3 of the Financial Management Act 2006 (WA) as extended by section 5 of that Act; (e) a subsidiary body as defined in paragraphs (b) and (c) of the definition of that term in subsection 60(1) of the Financial Management Act 2006 (WA); (f) an administrative unit within the meaning of subsection 3(1) of the Public Sector Act 2009 (SA); (g) a Government department within the meaning of subsection 3(1) of the State Service Act 2000 (Tas.); (h) a directorate as defined in the Dictionary of the Financial Management Act 1996 (ACT); (i) an Agency within the meaning of subsection 3(1) of the Financial Management Act 1995 (NT); (l) a department of a Parliament of a State; (m) a department of a Legislative Assembly of a Territory. (2) However, a government body that pays, or is liable to pay, salary or wages is not an eligible State or Territory body . (3) The regulations may make modifications to subsection (1).

Amendment history: Inserted by No 167 of 2001, effective Sch 1 and Sch 4 (items 1–4): 1 Oct 2001 (s 2(1)) | Amended by No 97 of 2008, effective Sch 3 (items 2–4): 3 Oct 2008 (s 2(1) item 3) | Amended by No 46 of 2011, effective Sch 2 (items 641, 642) and Sch 3 (items 10, 11): 27 Dec 2011 (s 2(1) items 5 and 12) | Amended by No 8 of 2019, effective Sch 8 (items 24, 25): 1 Apr 2019 (s 2(1) item 11)

s 135U — Consequences of nomination

Change in employer (1) Subject to subsection (4), a nominated State or Territory body, instead of the governing body otherwise applicable, is taken, for the purposes of the Act, to be the employer of each employee of the State or Territory that has a sufficient connection with the body. Meaning of sufficient connection (2) An employee of the State or Territory has a sufficient connection with the body if the employee performs his or her duties of employment wholly or principally in the body. (3) An employee of the State or Territory is taken to have a sufficient connection with the body if: (a) the employee does not perform his or her duties of employment wholly or principally in any other nominated State or Territory body; and (b) the employee is of a class of employees that the State or Territory has specified under paragraph 135S(2)(c) is to be taken to have a sufficient connection with the body. Obligations etc. still fall on State or Territory (4) Any right that would be conferred, or obligation that would be imposed, on the nominated State or Territory body as a consequence of subsection (1) is instead conferred or imposed on the State or the Territory. Other consequences (5) Also, for the purposes of this Act: (a) the nominated State or Territory body is taken to be a company; and (b) the following are taken to be companies related to the nominated State or Territory body: (i) each other nominated State or Territory body of the State or Territory concerned; and (ii) the State or Territory concerned; and (iii) each authority of the State or Territory that is not a related company of the nominated State or Territory body under subparagraph (i) or (ii); and (c) the nominated State or Territory body is taken to be a government body. Where nominated State or Territory body ceases to exist (6) If the nominated State or Territory body ceases to exist during a year of tax: (a) the State or Territory is taken, from the time the body ceases to exist, to be the employer of all employees who had a sufficient connection with the body immediately before it ceased to exist; and (b) the State or Territory is taken to have revoked the nomination of the body, with effect from the start of the next year of tax.

s 135V — Working out the notional tax amount where nominations have been made, varied or revoked

When section applies (1) This section applies if a State or Territory does any one or more of the following under section 135S: (a) makes one or more nominations; (b) varies one or more nominations; (c) revokes one or more nominations; with effect from the start of the same year of tax (the year of the change ). State or Territory to apportion prior year’s assessed tax for instalment purposes (2) If this section applies, the State or Territory must, in accordance with this section, specify the amounts of the tax that are to be taken for the purposes of subsection 110(1) to be assessed in respect of the following in respect of the year of tax (the prior year of tax ) immediately preceding the year of the change: (a) each body that is a nominated State or Territory body of the State or Territory for the year of the change (even if that year is not the first year of tax for that body); (b) the State or Territory. (3) The sum of the amounts specified under subsection (2) must equal the sum of the tax that was assessed in respect of the following in respect of the prior year of tax: (a) the State or Territory; (b) if there were nominated State or Territory bodies of the State or Territory for the prior year of tax—those bodies. Form etc. of apportionment (4) The State or Territory must: (a) specify the amounts after it makes the last of the nominations, variations or revocations; and (b) do so in the approved form; and (c) give the approved form to the Commissioner on or before 21 May in the year of the change. Effect of apportionment (5) For the purposes of subsection 110(1), the amounts specified in the approved form have effect to replace the amounts that would otherwise be the tax assessed for the prior year of tax in respect of the nominated State or Territory bodies and the State or Territory. Consequences of failure to apportion (6) If the requirements of this section are not complied with: (a) any making, variation or revocation of a nomination to which this section applies has no effect in relation to any year of tax; and (b) all existing nominations of the State or Territory under section 135S cease to have effect at the start of the year of the change; and (c) the amount of the tax that is taken for the purposes of subsection 110(1) to have been assessed in respect of the State or Territory in respect of the prior year of tax is equal to the sum of the amounts of tax assessed in respect of that year of tax in respect of the following: (i) the State or Territory; (ii) if there were nominated State or Territory bodies for that year of tax—those bodies.

s 135W — Notional tax amount where a nominated State or Territory body ceases to exist

If a nominated State or Territory body ceases to exist during a year of tax (other than because of subsection 135V(6)), then, for the purposes of subsection 110(1), the amount of the tax that was assessed, in respect of the immediately preceding year of tax in respect of the State or Territory that nominated the body, is taken to be an amount worked out using the following formula: where: amount actually assessed means the amount of the tax assessed in respect of the State or Territory in respect of the immediately preceding year of tax. notional tax amount of the State or Territory body means the notional tax amount of the nominated State or Territory body in respect of the year of tax, as at the end of the last day of the last quarter before the body ceased to exist. previous credits of the State or Territory body means the total of any credits claimed under section 112A in relation to one or more instalments of tax of the nominated State or Territory body for that year of tax. previous instalments by the State or Territory body means the total of any instalments of tax of the nominated State or Territory body for that year of tax that became due and payable before it ceased to exist.

s 135X — Application of certain provisions by agreement with the Commissioner

Object (1) The object of this section is: (a) to ensure that the calculation of the taxable value of certain fringe benefits is not affected where continuity in the fulfilment of certain record ‑ keeping provisions is broken solely because of a transitional event; and (b) to preserve the character of certain benefits where that character would otherwise be lost solely because of a transitional event. Meaning of transitional event (2) A transitional event occurs if: (a) a State or Territory makes a nomination under section 135S; or (b) a State or Territory varies a nomination under section 135S; or (c) a State or Territory revokes a nomination under section 135S; or (d) a nominated State or Territory body ceases to exist. Agreement about consequences of transitional events (3) The Commissioner may enter into a written agreement with a State or Territory about what is to happen in respect of the following when a transitional event occurs: (a) whether a register kept by the State or Territory, or a nominated State or Territory body, is to be treated as a valid register for the purposes of Subdivision D of Division 10A of Part III of the Act (which deals with the 12 week record keeping method for car parking fringe benefits) and the employees and FBT years in relation to which the register is to be treated as valid; (b) whether a benefit that would otherwise lose its character as an exempt benefit under section 58B, 58C, 58D or 58S is to be treated as an exempt benefit; (c) whether a benefit that would otherwise lose its character as an amortised fringe benefit under section 65CA is to be treated as an amortised fringe benefit; (d) whether a benefit that would not otherwise be covered by a recurring fringe benefit declaration under section 152A is to be treated as being covered by the declaration; (e) whether a year of tax is to be treated as a log book year of tax of the State or Territory, or a nominated State or Territory body, for the purposes of the application of section 10 in relation to a car fringe benefit in relation to that State or Territory, or that nominated State or Territory body, in relation to a particular car or class of cars (however described); (f) whether a year of tax that is a base year of tax for the purposes of section 26 is to continue to be treated as a base year of tax. (4) So far as the agreement is inconsistent with this Act, the agreement prevails.

Amendment history: Inserted by No 167 of 2001, effective Sch 1 and Sch 4 (items 1–4): 1 Oct 2001 (s 2(1)) | Amended by No 83 of 2004, effective Sch 4 and Sch 8 (items 1–3, 5–8): 25 June 2004 (s 2(1) items 1, 18) Sch 8 (item 4): 1 July 2005 (s 2(1) item 19)

s 135Y — Temporary budget repair levy

Application (1) This section applies to the temporary budget repair levy years for FBT (within the meaning of section 6A of the Fringe Benefits Tax Act 1986 ). Modification for aggregate non ‑ exempt amount (2) The method statement in subsection 5B(1E) has effect as if: (a) each reference in that method statement to $17,000 was instead a reference to $17,667; and (b) the reference in that method statement to $30,000 was instead a reference to $31,177. Modified rebate for certain not ‑ for ‑ profit employers (3) The method statement in subsection 65J(2B) has effect as if the reference in that method statement to $30,000 was instead a reference to $31,177. Note: The FBT rate is increased by 2 percentage points in the temporary budget repair levy years for FBT: see section 6A of the Fringe Benefits Tax Act 1986 .

Amendment history: Inserted by No 48 of 2014, effective Sch 2: 25 June 2014 (s 2(1))

s 136 — Interpretation

(1) In this Act, unless the contrary intention appears: ABN has the meaning given by the A New Tax System (Australian Business Number) Act 1999 . academic period , in relation to an educational institution, means: (a) if the academic years of the educational institution are divided into terms but not semesters—a term of the academic year; (b) if the academic years of the educational institution are divided into semesters (whether or not they are also divided into terms)—a semester of the academic year; or (c) if the academic years of the educational institution are not divided into terms or semesters—an academic year of the institution. accommodation component , in relation to a living ‑ away ‑ from ‑ home allowance fringe benefit, means so much (if any) of the fringe benefit as might reasonably be concluded to be compensation for expenses to be incurred by the employee for the accommodation of eligible family members during the period to which the fringe benefit relates. agent includes: (a) a person who, for and on behalf of a person out of Australia, has the management or control in Australia of the whole or a part of a business of the second ‑ mentioned person; and (b) a person declared by the Commissioner, by notice in writing served on the person, to be an agent or the sole agent of a person for the purposes of this Act. agent’s certificate means a certificate under subsection 71(1). aggregate fringe benefits amount has the meaning given by section 5C. aggregate non ‑ exempt amount has the meaning given by subsection 5B(1E). aggregate non ‑ rebatable amount has the meaning given by subsection 65J(2B). airline transport fringe benefit means an in ‑ house property fringe benefit, or in ‑ house residual fringe benefit, to the extent that the benefit: (a) is the provision of transport in a passenger aircraft operated by a carrier and any incidental services on board the aircraft; and (b) is provided subject to the stand ‑ by restrictions that customarily apply in relation to the provision of airline transport to employees in the airline industry. all ‑ day parking , in relation to a particular day, means parking of a single car for a continuous period of 6 hours or more during a daylight period on that day. amortised fringe benefit has the meaning given by section 65CA. approved form has the meaning given by section 388 ‑ 50 in Schedule 1 to the Taxation Administration Act 1953 . approved worker entitlement fund has the meaning given by subsections 58PB(1) and (2). arm’s length loan means a loan where the parties to the loan are dealing with each other at arm’s length in relation to the loan. arm’s length transaction means a transaction where the parties to the transaction are dealing with each other at arm’s length in relation to the transaction. arrangement means: (a) any agreement, arrangement, understanding, promise or undertaking, whether express or implied, and whether or not enforceable, or intended to be enforceable, by legal proceedings; and (b) any scheme, plan, proposal, action, course of action or course of conduct, whether unilateral or otherwise. assessable income has the meaning given by subsection 995 ‑ 1(1) of the Income Tax Assessment Act 1997 . assessment means the ascertainment of the fringe benefits taxable amount of an employer of a year of tax and of the tax payable on that amount. associate has the meaning given by section 318 of the Income Tax Assessment Act 1936 . Note: Section 159 of this Act affects the above definition. associated premises , in relation to a person, means premises, or a part of premises: (a) owned by the person; or (b) leased by the person; or (c) otherwise under the control of the person; but does not include: (d) business premises of the person; or (e) premises, or a part of premises, used as a place of residence of an employee of the person or an employee of an associate of the person. Australia , when used in a geographical sense, has the same meaning as in the Income Tax Assessment Act 1997 . Australian workers’ compensation law means a workers’ compensation law that is a law of the Commonwealth or of a State or Territory. basic car rate , for a car for a year of tax ending on 31 March in a year, means the rate determined under subsection 28 ‑ 25(4) of the Income Tax Assessment Act 1997 for the car for the year of income ending on 30 June in that year. battery electric vehicle has the meaning given by subsection 8A(3). benchmark interest rate : (a) in relation to a year of tax, means the rate of interest, known as the large bank housing lenders variable interest rate on loans for housing for owner occupation, last published by the Reserve Bank of Australia before the commencement of the year of tax; and (b) in relation to a time after 2 April 1986 and before 1 July 1986, means a rate of interest offered anywhere in Australia at that time in respect of a Commonwealth Bank housing loan. benefit includes any right (including a right in relation to, and an interest in, real or personal property), privilege, service or facility and, without limiting the generality of the foregoing, includes a right, benefit, privilege, service or facility that is, or is to be, provided under: (a) an arrangement for or in relation to: (i) the performance of work (including work of a professional nature), whether with or without the provision of property; (ii) the provision of, or of the use of facilities for, entertainment, recreation or instruction; or (iii) the conferring of rights, benefits or privileges for which remuneration is payable in the form of a royalty, tribute, levy or similar exaction; (b) a contract of insurance; or (c) an arrangement for or in relation to the lending of money. board benefit means a benefit referred to in section 35. board fringe benefit means a fringe benefit that is a board benefit. board meal means a meal provided, in respect of the employment of an employee of an employer, to a person (in this definition referred to as the recipient ), being the employee or an associate of the employee, where: (a) the meal is provided on a meal entitlement day; (b) the meal is provided by the employer or, if the employer is a company, by the employer or by a company that is related to the employer; (c) either of the following subparagraphs applies: (i) the meal is cooked or otherwise prepared on eligible premises of the employer and is provided to the recipient on eligible premises of the employer (not being a dining facility that, at any time, is open to the public); (ii) the following conditions are satisfied: (A) the duties of employment of the employee consist principally of duties to be performed in, or in connection with, an eligible dining facility of the employer or a facility for the provision of accommodation, recreation or travel of which the eligible dining facility forms part; (B) the meal is cooked or otherwise prepared in the cooking facility of the eligible dining facility; (C) the meal is provided to the recipient in the eligible dining facility; (d) the facility in which the meal is cooked or otherwise prepared is not for use wholly or principally for the cooking or other preparation of meals solely for the employee or associates of the employee or for the employee and associates of the employee; and (e) the meal is not provided at a party, reception or other social function. business journey means: (a) for the purposes of the application of Division 2 of Part III in relation to a car fringe benefit in relation to an employer in relation to a car—a journey undertaken in a car otherwise than in the application of the car to a private use, being an application that results in the provision of a fringe benefit in relation to the employer; or (b) for the purposes of the application of sections 19, 24, 44 and 52 in relation to a loan fringe benefit, an expense payment fringe benefit, a property fringe benefit or a residual fringe benefit, as the case requires, in relation to an employee in relation to a car—a journey undertaken in the car in the course of producing assessable income of the employee. business kilometre , in relation to a car, means a kilometre travelled by the car in the course of a business journey. business operations , in relation to a government body or a non ‑ profit company, includes any operations or activities carried out by that body or company. business premises , in relation to a person, means premises, or a part of premises, of the person used, in whole or in part, for the purposes of business operations of the person, but does not include: (a) premises, or a part of premises, used as a place of residence of an employee of the person or an employee of an associate of the person; or (b) a corporate box; or (c) boats or planes used primarily for the purpose of providing entertainment unless the boat or plane is used in the person’s business of providing entertainment; or (d) other premises used primarily for the purpose of providing entertainment unless the premises are used in the person’s business of providing entertainment. business use percentage , for a car held by a person during a period (the holding period ) in an FBT year, means the percentage worked out using the formula: car has the meaning given by subsection 995 ‑ 1(1) of the Income Tax Assessment Act 1997 . car benefit means a benefit referred to in subsection 7(1). car expense , in relation to a car, means an expense incurred in respect of: (a) the registration of, or insurance in respect of, the car; (b) repairs to or maintenance of the car; or (c) fuel for the car. car expense payment benefit means an expense payment fringe benefit where the recipients expenditure is a Division 28 car expense. car fringe benefit means a fringe benefit that is a car benefit. car loan benefit means a loan fringe benefit where the loan was used by the recipient to: (a) purchase a car; or (b) pay a Division 28 car expense. car parking benefit means a benefit referred to in section 39A. car parking fringe benefit means a fringe benefit that is a car parking benefit. car property benefit means a property fringe benefit where, if the recipient had incurred expenditure in respect of the provision of the recipients property, that expenditure would have been a Division 28 car expense. car residual benefit means a residual fringe benefit where, if the recipient had incurred expenditure in respect of the provision of the recipients benefit, that expenditure would have been a Division 28 car expense. car substantiation declaration , in relation to a car held by a person during a period (in this definition called the holding period ) in a year of tax, means a declaration, in a form approved by the Commissioner, for the purposes of paragraphs 19(1)(ca), 24(1)(ea), 44(1)(da) and 52(1)(da), in relation to the car in relation to the holding period. child has the meaning given by subsection 995 ‑ 1(1) of the Income Tax Assessment Act 1997 . child care facility means a facility at which a person receives, or is ready to receive, 2 or more children under the age of 6, not being associates of the person, for the purpose of minding, caring for or educating them for a day or part of a day without provision for residential care but does not include a facility at the place of residence of any of those children. close relative , in relation to a person, means: (a) the spouse of the person; (b) a child or parent of the person; or (c) a parent of the person’s spouse. commercial parking station , in relation to a particular day, means a permanent commercial car parking facility where any or all of the car parking spaces are available in the ordinary course of business to members of the public for all ‑ day parking on that day on payment of a fee, but does not include a parking facility on a public street, road, lane, thoroughfare or footpath paid for by inserting money in a meter or by obtaining a voucher. Commissioner means the Commissioner of Taxation. Commonwealth Bank housing loan means an arm’s length loan by the Commonwealth Bank of Australia made in the ordinary course of business to a member of the public, being a loan: (a) for housing purposes; and (b) the terms of which provide for: (i) interest to be calculated on the daily balance of the loan; and (ii) that interest to be added to the balance of the loan at monthly intervals. company includes any body or association, corporate or unincorporate, but does not include a partnership. comparison time , in relation to a residual fringe benefit, means: (a) if the fringe benefit is constituted by a benefit to which subsection 46(2) applies—the start of the billing period referred to in that subsection in relation to the benefit; or (b) if the fringe benefit is a period residual fringe benefit—the time when the recipients overall benefit started to be provided; or (c) if the fringe benefit is an airline transport fringe benefit—the time when the transport starts; or (d) otherwise—the time when the benefit is provided. compensable work ‑ related trauma means work ‑ related trauma suffered by an employee where: (a) if there is no Australian workers’ compensation law that applies to the employment of the employee—if any Australian workers’ compensation law had applied to the employment of the employee, that law would have provided for compensation or other benefits for or in respect of the trauma; or (b) in all cases—there is a workers’ compensation law that: (i) applies to the employment of the employee; and (ii) provides for compensation or other benefits for or in respect of the trauma. contract of investment insurance means a contract of life assurance insuring payment of money in the event that the life insured is alive on a specified date, whether or not the contract also insures the payment of money in any other event. cost price : (a) in relation to a car owned by a person, means: (i) where the car was manufactured by the person—the amount for which the car could reasonably have been expected to have been sold by the person by wholesale under an arm’s length transaction at or about the time when the car was applied to the person’s own use; or (ii) where neither subparagraph (i) nor (iii) applies, an amount equal to the sum of: (A) the expenditure incurred by the person (other than expenditure in respect of registration or in respect of a tax on, or on a transfer of, registration) that is directly attributable to the acquisition or delivery of the car or, if subsection 7(6) applies in relation to the car, the leased car value of the car when the person first took the car on hire; and (B) the amount of any additional expenditure incurred by the person for or in relation to the fitting of non ‑ business accessories to the car at or about the time when the car was acquired by the person, reduced by the amount of any reimbursement of the whole or a part of that expenditure paid, at or about the time when the expenditure was incurred, by a recipient of a car benefit in relation to the car; or (iii) where subparagraph (i) does not apply and the person was entitled to privileges or exemptions in relation to customs duty in respect of a transaction by which the person acquired the car or by which the person arranged for the fitting of non ‑ business accessories to the car at or about the time when the car was acquired by the person, the amount that could reasonably have been expected to have been applicable under subparagraph (ii) if the person had not been entitled to those privileges to exemptions; (b) in relation to a non ‑ business accessory fitted to a car, means: (i) where the accessory was manufactured by the person who held the car at the time of the fitting—the amount for which the accessory could reasonably have been expected to have been sold under an arm’s length transaction by the person by wholesale at or about the time when the accessory was applied to the person’s own use; and (ii) where neither subparagraph (i) nor (iii) applies—the expenditure incurred, by a person other than a recipient of a car benefit in relation to the car, for or in relation to the fitting of the accessory, reduced by the amount of any reimbursement of the whole or a part of that expenditure paid at or about that time by a recipient of a car benefit in relation to the car; and (iii) where subparagraph (i) does not apply and a person was entitled to privileges or exemptions in relation to customs duty in respect of a transaction by which the person acquired the accessory—the amount that could reasonably have been expected to have been applicable under subparagraph (ii) if the person had not been entitled to those privileges or exemptions; and (c) in relation to the recipients property in relation to a property fringe benefit—means the expenditure incurred by the provider that is directly attributable to purchasing or obtaining delivery of the property. counselling includes the giving of advice or information in a seminar. current employee means a person who receives, or is entitled to receive, salary or wages. current employer means a person (including a government body) who pays, or is liable to pay, salary or wages, and includes: (a) in the case of a partnership—each partner; and (b) in the case of any other unincorporated association or body of persons—its manager or other principal officer. current identical benefit , in relation to an identical overall benefit in relation to a year of tax, means that identical overall benefit insofar as it was provided during the year of tax. customs duty means customs duty imposed under a law of the Commonwealth or of a Territory. daily balance , in relation to a loan, means the balance of the loan at the end of a day. daylight period , in relation to a day, means so much of a period on that day as occurs: (a) after 7 a.m. on that day; and (b) before 7 p.m. on that day. debt waiver benefit means a benefit referred to in section 14. debt waiver fringe benefit means a fringe benefit that is a debt waiver benefit. December quarter means a quarter ending on 31 December. declaration date , in relation to an employer in relation to a year of tax, means the date of lodgment of the return of the fringe benefits taxable amount of the employer of the year of tax, or such later date as the Commissioner allows. deductible expenses , in relation to an allowance paid to an employee, means expenses incurred by the employee in respect of which a deduction is allowable to the employee under section 8 ‑ 1 of the Income Tax Assessment Act 1997 (ignoring Divisions 28, 32 and 900 of that Act). deferred BAS payer has the same meaning as in subsection 995 ‑ 1(1) in the Income Tax Assessment Act 1997 . Deputy Commissioner means a Deputy Commissioner of Taxation. disadvantaged person means: (a) a person who is intellectually, psychiatrically or physically handicapped; or (b) a person who is in necessitous circumstances. disease has the meaning given by subsection 995 ‑ 1(1) of the Income Tax Assessment Act 1997 . Division 28 car expense means a car expense as defined in section 28 ‑ 13 of the Income Tax Assessment Act 1997 , but does not include a car expense covered by section 28 ‑ 165 of that Act. documentary evidence , in relation to an expense incurred by a person, means a document that would constitute written evidence of the expense obtained in a way described in Subdivision 900 ‑ E of the Income Tax Assessment Act 1997 if the expense were a work expense, and Division 900 of that Act applied to the person. domestic services includes: (a) child care; (b) gardening; (c) home renovations, repairs or maintenance; (d) house cleaning; (e) nursing care; and (f) preparation of meals. dwelling means a unit of accommodation constituted by, or contained in a building, being a unit that consists, in whole or in substantial part, of residential accommodation. economy air fare , in relation to a person being carried on a scheduled passenger air service operated by a carrier over a route, means: (a) in a case where paragraph (b) does not apply—the standard air fare (other than a preferential air fare) charged by the carrier in respect of the scheduled air service; or (b) in a case where the carrier charges children, students or blind persons a concessional air fare in respect of the air fare to which paragraph (a) applies and the person is eligible for such a concessional air fare—the concessional air fare concerned; being, in either case, an air fare in relation to which no special booking conditions are attached. educational institution means a school, college or university. elderly person means a person who has attained the age of 60 years. electronic signature has the meaning given by subsection 995 ‑ 1(1) of the Income Tax Assessment Act 1997 . eligible car parking expense payment benefit means an expense payment benefit where: (a) the recipient is an employee or an associate of an employee; and (b) the recipients expenditure is in respect of the provision of car parking facilities for a car on one or more days; and (c) the following conditions are satisfied in relation to any of those days: (i) on that day, the employee has a primary place of employment; (ii) on that day, the car was parked for one or more daylight periods exceeding 4 hours in total at, or in the vicinity of, that primary place of employment; (iii) the whole or a part of the recipients expenditure is in respect of the provision of the parking facilities to which that parking relates; (iv) on that day, the car was used in connection with travel by the employee between the place of residence of the employee and that primary place of employment; (v) the provision of parking facilities for the car during the period or periods is not taken, under the regulations, to be excluded from this definition; (vi) the day is on or after 1 July 1993. eligible dining facility , in relation to an employer, means: (a) a canteen, dining room or similar facility; or (b) a café, restaurant or similar facility; that is located on premises of the employer or, if the employer is a company, of the employer or of a company that is related to the employer. eligible family member means: (a) in relation to an employee whose duties of employment require the employee to live away, for a period, from his or her normal residence: (i) the employee; or (ii) the spouse of the employee, or a child of the employee, being a spouse or child, as the case may be: (A) who lived with the employee during that period; and (B) whose usual place of residence during that period was the same as the usual place of residence of the employee; and (b) in relation to a living ‑ away ‑ from ‑ home allowance fringe benefit in relation to an employee, means: (i) the employee; or (ii) the spouse of the employee, or a child of the employee, being a spouse or child, as the case may be: (A) in respect of whom the fringe benefit is paid; (B) who lived with the employee during the period to which the fringe benefit relates; and (C) whose usual place of residence during that period was the same as the usual place of residence of the employee. eligible foreign remuneration has the same meaning as in section 23AF of the Income Tax Assessment Act 1936 . eligible incidental travel expense payment benefit means an expense payment fringe benefit where: (a) either: (i) the recipients expenditure: (A) is in respect of travel by the recipient away from the recipient’s usual place of residence undertaken in the course of performing the duties of his or her employment, being expenditure in respect of accommodation, the purchase of food or drink or otherwise incidental to the travel; and (B) relates solely to travel by the recipient in Australia; or (ii) the recipients expenditure: (A) is in respect of travel by the recipient away from the recipient’s usual place of residence undertaken in the course of performing the duties of his or her employment, being expenditure in respect of the purchase of food or drink or otherwise incidental to the travel (except in respect of accommodation); and (B) relates solely or principally to travel by the recipient outside Australia; and (b) the payment or reimbursement, as the case may be, that constitutes the fringe benefit is in the nature of compensation to the recipient for the expenses that the recipient might reasonably be expected to have incurred in respect of the matters specified in sub ‑ subparagraph (a)(i)(A) or (a)(ii)(A), as the case requires. eligible overtime meal expense payment benefit means an expense payment fringe benefit where: (a) the recipients expenditure is incurred in respect of the purchase of food or drink in connection with overtime worked by the recipient; and (b) the payment or reimbursement, as the case may be, that constitutes the fringe benefit is in the nature of compensation to the recipient for the expenses that the recipient might reasonably be expected to have incurred in respect of the purchase of food or drink in connection with that overtime. eligible pre ‑ commencement loan means a loan made before 1 July 1986 at a rate of interest that: (a) is specified in a document in existence at the time when the loan was made; and (b) cannot be varied. eligible premises , in relation to entertainment, a meal, or food or drink, provided in respect of the employment of an employee of an employer, means: (a) if the employer is a company—premises of the employer or of a company that is related to the employer; or (b) in any other case—premises of the employer; and includes, in either case, a location at or adjacent to a site at which the employee performs duties of that employment. emergency means an emergency involving any of the following matters: (a) a natural disaster; (b) a conflict involving an armed force; (c) a civil disturbance; (d) an accident; (e) a serious illness; (f) any similar matter. emergency assistance , in relation to a person, means assistance granted to the person where: (a) the person is, or is at immediate risk of becoming, the victim of an emergency; (b) the assistance is granted to the person solely in order to provide immediate relief; (c) the assistance is in respect of all or any of the following matters: (i) first aid or other emergency health care; (ii) emergency meals or food supplies; (iii) emergency clothing; (iv) emergency transport; (v) emergency accommodation; (vi) emergency use of household goods; (vii) temporary repairs; (viii) any similar matter. employee means: (a) a current employee; (b) a future employee; or (c) a former employee. employee credit loan benefit , in relation to a year of tax, means a loan fringe benefit in relation to an employee in relation to the year of tax where: (a) the loan consists of the provision of credit to the employee in respect of: (i) property sold; or (ii) other benefits provided; to the employee by the provider of the fringe benefit; and (b) if the employee had, on the last day of the period during the year of tax when the employee was under an obligation to repay the whole or any part of the loan, incurred interest in respect of the loan in respect of that period, that interest would have been exclusively incurred in gaining or producing salary or wages of the employee in respect of the employment to which the fringe benefit relates. employee share loan benefit , in relation to a year of tax, means a loan fringe benefit in relation to an employee in relation to an employer in relation to the year of tax where: (a) the sole purpose of the making of the loan is to enable the employee to acquire shares, or rights to acquire shares, in a company, being: (i) the employer; or (ii) an associate of the employer; and (b) the shares or rights were beneficially owned by the employee at all times during the period during the year of tax when the employee was under an obligation to repay the whole or any part of the loan. employee’s share of the taxable value of a fringe benefit has the meaning given by section 5F. employer means: (a) a current employer; (b) a future employer; or (c) a former employer; but does not include: (d) the Commonwealth; or (e) an authority of the Commonwealth that cannot, by a law of the Commonwealth, be made liable to taxation by the Commonwealth. employment , in relation to a person, means the holding of any office or appointment, the performance of any functions or duties, the engaging in of any work, or the doing of any acts or things that results, will result or has resulted in the person being treated as an employee. entertainment has the meaning given by section 32 ‑ 10 of the Income Tax Assessment Act 1997 . entertainment facility leasing expenses , for a person, means expenses incurred by the person in hiring or leasing: (a) a corporate box; or (b) boats, or planes, for the purpose of the provision of entertainment; or (c) other premises, or facilities, for the purpose of the provision of entertainment; but does not include so much of any of such expenses that: (d) is attributable to the provision of food or drink; or (e) is attributable to advertising and is an allowable deduction for the person under the Income Tax Assessment Act 1936 or the Income Tax Assessment Act 1997 . entity has the meaning given by section 960 ‑ 100 of the Income Tax Assessment Act 1997 . excluded fringe benefit , in relation to an employee, employer and year of tax, has the meaning given by subsection 5E(3). exclusive employee expense payment benefit means an expense payment fringe benefit where the recipients expenditure is exclusively incurred in gaining or producing salary or wages of the recipient in respect of the employment to which the fringe benefit relates and is not expenditure in respect of interest. exclusive employee property benefit means a property fringe benefit where, if the recipient had incurred expenditure in respect of the provision of the recipients property, that expenditure would have been exclusively incurred in gaining or producing salary or wages of the recipient in respect of the employment to which the fringe benefit relates. exclusive employee residual benefit means a residual fringe benefit where, if the recipient had incurred expenditure in respect of the provision of the recipients benefit, that expenditure would have been exclusively incurred in gaining or producing salary or wages of the recipient in respect of the employment to which the fringe benefit relates. exempt accommodation component , in relation to a living ‑ away ‑ from ‑ home allowance fringe benefit, means so much of the accommodation component as is equal to the total of the expenses that: (a) are incurred by the employee for that accommodation; and (b) are substantiated under section 31G. exempt food component has the meaning given by section 31H. expense payment benefit means a benefit referred to in section 20. expense payment fringe benefit means a fringe benefit that is an expense payment benefit. extended travel expense payment benefit means an expense payment fringe benefit where: (a) the recipient’s expenditure is in respect of travel outside Australia and involves the recipient being away from the recipient’s usual place of residence for a continuous period including more than 5 nights; or (b) the following conditions are satisfied: (i) the recipients expenditure is in respect of travel by the recipient within Australia that involves the recipient being away from the recipient’s usual place of residence for a continuous period including more than 5 nights; (ii) the travel was not undertaken exclusively in gaining or producing salary or wages of the recipient in respect of the employment to which the fringe benefit relates; but does not include a car expense payment benefit. extended travel property benefit means a property fringe benefit where: (a) the recipients property is in respect of travel outside Australia and involves the recipient being away from the recipient’s usual place of residence for a continuous period including more than 5 nights; or (b) the following conditions are satisfied: (i) the recipients property is provided in respect of travel by the recipient within Australia that involves the recipient being away from the recipient’s usual place of residence for a continuous period including more than 5 nights; (ii) the travel was not undertaken exclusively in gaining or producing salary or wages of the recipient in respect of the employment to which the fringe benefit relates; but does not include a car property benefit. extended travel residual benefit means a residual fringe benefit where: (a) the recipients benefit is in respect of travel outside Australia and involves the recipient being away from the recipient’s usual place of residence for a continuous period including more than 5 nights; or (b) the following conditions are satisfied: (i) the recipients benefit consists of, or is in respect of, travel by the recipient within Australia that involves the recipient being away from the recipient’s usual place of residence for a continuous period including more than 5 nights; (ii) the travel was not undertaken exclusively in gaining or producing salary or wages of the recipient in respect of the employment to which the fringe benefit relates; but does not include a car residual benefit. external administrator has the same meaning as in the Payment Systems and Netting Act 1998. external expense payment fringe benefit means an expense payment fringe benefit other than an in ‑ house expense payment fringe benefit. external non ‑ period residual fringe benefit means a non ‑ period residual fringe benefit other than an in ‑ house residual fringe benefit. external period residual fringe benefit means a period residual fringe benefit other than an in ‑ house residual fringe benefit. external property fringe benefit , in relation to an employer, means a property fringe benefit in relation to the employer other than an in ‑ house property fringe benefit. Families Department has the meaning given by the Income Tax Assessment Act 1997 . family member , in relation to a benefit provided to an employee, or to an associate of an employee, in respect of the employment of the employee, means: (a) the employee; (b) the spouse of the employee; or (c) a child of the employee. FBT year means a year beginning on 1 April. fitting , in relation to a non ‑ business accessory, includes the acquisition of the accessory. food component , in relation to a living ‑ away ‑ from ‑ home allowance fringe benefit, means so much (if any) of the fringe benefit as might reasonably be concluded to be compensation for expenses to be incurred by the employee for food or drink for eligible family members during the period to which the fringe benefit relates. foreign earnings has the same meaning as in section 23AG of the Income Tax Assessment Act 1936 . former employee means a person who has been a current employee. former employer means a person who has been a current employer. fringe benefit , in relation to an employee, in relation to the employer of the employee, in relation to a year of tax, means a benefit: (a) provided at any time during the year of tax; or (b) provided in respect of the year of tax; being a benefit provided to the employee or to an associate of the employee by: (c) the employer; or (d) an associate of the employer; or (e) a person (in this paragraph referred to as the arranger ) other than the employer or an associate of the employer under an arrangement covered by paragraph (a) of the definition of arrangement between: (i) the employer or an associate of the employer; and (ii) the arranger or another person; or (ea) a person other than the employer or an associate of the employer, if the employer or an associate of the employer: (i) participates in or facilitates the provision or receipt of the benefit; or (ii) participates in, facilitates or promotes a scheme or plan involving the provision of the benefit; and the employer or associate knows, or ought reasonably to know, that the employer or associate is doing so; in respect of the employment of the employee, but does not include: (f) a payment of salary or wages or a payment that would be salary or wages if salary or wages included exempt income for the purposes of the Income Tax Assessment Act 1936 ; or (g) a benefit that is an exempt benefit in relation to the year of tax; or (h) a benefit constituted by the acquisition of an ESS interest under an employee share scheme (within the meaning of the Income Tax Assessment Act 1997 ) to which Subdivision 83A ‑ B or 83A ‑ C of that Act applies; or (ha) a benefit constituted by the acquisition of money or property by an employee share trust (within the meaning of the Income Tax Assessment Act 1997 ); or (j) a benefit constituted by: (i) the making of a contribution to a superannuation fund (as defined by the Income Tax Assessment Act 1997 ) that the person making the contribution had reasonable grounds for believing was a complying superannuation fund (as defined by that Act) for the purpose of making provision for superannuation benefits for the employee (whether or not the benefits are payable to a dependant of the employee if the employee dies before or after becoming entitled to receive the benefits); or (ii) the making of a contribution to a foreign superannuation fund (within the meaning of the Income Tax Assessment Act 1997 ) where: (A) the contribution is for the purpose of making provision for superannuation benefits for the employee (whether or not the benefits are payable to a dependant of the employee if the employee dies before or after becoming entitled to receive the benefits); and (B) the employee is a temporary resident (within the meaning of the Income Tax Assessment Act 1997 ) when the contribution is made; or (iii) the making of a payment of money to an RSA (within the meaning of the Retirement Savings Accounts Act 1997 ) that is held by the employee; or (k) a superannuation benefit (within the meaning of the Income Tax Assessment Act 1997 ); or (l) a payment covered by section 26AF or 26AFA of the Income Tax Assessment Act 1936 ; or (la) an early retirement scheme payment (within the meaning of the Income Tax Assessment Act 1997 ); or (lb) a genuine redundancy payment (within the meaning of the Income Tax Assessment Act 1997 ); or (lc) an employment termination payment (within the meaning of the Income Tax Assessment Act 1997 ); or (ld) a payment that would be an employment termination payment (within the meaning of the Income Tax Assessment Act 1997 ) apart from paragraph 82 ‑ 130(1)(b) of that Act; or (le) any of the following payments, if they would be employment termination payments (within the meaning of the Income Tax Assessment Act 1997 ) apart from paragraph 82 ‑ 130(1)(b) and section 82 ‑ 135 of that Act: (i) an unused annual leave payment (within the meaning of that Act); (ii) an unused long service leave payment (within the meaning of that Act); (iii) a payment covered by Subdivision 83 ‑ D (Foreign termination payments) of that Act; (iv) a payment covered by paragraph 82 ‑ 135(g) of that Act; (v) a payment of an annuity, or a supplement, covered by section 27H of the Income Tax Assessment Act 1936 ; or (m) consideration of a capital nature for, or in respect of: (i) a legally enforceable contract in restraint of trade by a person; or (ii) personal injury to a person; or (ma) a payment, within the meaning of subsection 104 ‑ 255(7) of the Income Tax Assessment Act 1997 , of a carried interest of a kind referred to in subsection 104 ‑ 255(1) of that Act; or (mb) a grant or acquisition of such a carried interest, or of an entitlement to such a payment; or (n) a payment of an amount that, under any provision of the Income Tax Assessment Act 1936 , is deemed to be a dividend paid to the recipient; or (p) a payment made, or liability incurred, to a person to the extent that the payment or liability is non ‑ assessable non ‑ exempt income (within the meaning of the Income Tax Assessment Act 1997 ) of the person because of subsection 26 ‑ 35(4) of that Act; or (q) a benefit constituted by the conferral of a present entitlement to, or a distribution of, income or capital to the extent that subsection 271 ‑ 105(1) in Schedule 2F to the Income Tax Assessment Act 1936 would prevent the inclusion of the amount or value of the income or capital in assessable income, assuming that it would otherwise be so included; or (r) anything done in relation to a shareholder in a private company (as those terms are defined in section 6 of the Income Tax Assessment Act 1936 ), or an associate of such a shareholder, that causes (or will cause) the private company to be taken under Division 7A of Part III of that Act to pay the shareholder or associate a dividend; or (s) a loan (within the meaning of section 109D of the Income Tax Assessment Act 1936 ), if: (i) a dividend is not taken to be paid under that section in relation to the loan, but would be if section 109N of that Act were disregarded; or (ii) an amount is not included, as if it were a dividend, in the assessable income of an entity under section 109XB of that Act in relation to the loan, but would be if section 109N of that Act were disregarded. fringe benefits tax or tax means tax imposed by the Fringe Benefits Tax Act 1986 . fringe benefits taxable amount has the meaning given by section 5B. future employee means a person who will become a current employee. future employer means a person who will become a current employer. general interest charge means the charge worked out under Part IIA of the Taxation Administration Act 1953 . government body means the Commonwealth, a State, a Territory or an authority of the Commonwealth or of a State or Territory. GST ‑ creditable benefit has the meaning given by section 149A. health care means any examination, test or form of care (whether therapeutic, preventative or rehabilitative) that is related to the physiological or psychological health of a person and, without limiting the generality of the foregoing, includes: (a) the supply, maintenance or repair of: (i) an artificial limb or other artificial substitute; or (ii) a medical, surgical or similar aid or appliance used by a person; and (b) the supply of drugs or other property in connection with such an examination, test or form of care. housing benefit means a benefit referred to in section 25. housing fringe benefit means a fringe benefit that is a housing benefit. housing right , in relation to a person, means a lease or licence granted to the person to occupy or use a unit of accommodation, insofar as that lease or licence subsists at a time when the unit of accommodation is the person’s usual place of residence. hydrogen fuel cell electric vehicle has the meaning given by subsection 8A(4). identical benefit , in relation to the recipients benefit in relation to a residual fringe benefit, means another benefit that is the same in all respects, except for differences (if any) that are minimal or insignificant and do not affect the value of the other benefit. identical overall benefit , in relation to the recipients overall benefit in relation to a period residual fringe benefit, means a benefit that is the same in all respects as the recipients overall benefit (except for any differences that are minimal or insignificant and do not affect the value of the benefit). identical property , in relation to the recipients property in relation to a property fringe benefit, means other property that is the same in all respects, including physical characteristics, quality and reputation, except for differences (if any) that are minimal or insignificant and do not affect the value of the property. incorporated company means a company being a body corporate. individual fringe benefits amount for a year of tax in respect of the employment of an employee by an employer has the meaning given by section 5E. individual quasi ‑ fringe benefits amount for a year of tax in respect of the employment of an employee by an employer has the meaning given by subsection 135Q(3). industrial instrument means a law of the Commonwealth or of a State or Territory or an award, order, determination or industrial agreement in force under any such law. in ‑ house expense payment fringe benefit means: (a) an in ‑ house property expense payment fringe benefit; or (b) an in ‑ house residual expense payment fringe benefit. in ‑ house fringe benefit means: (a) an in ‑ house expense payment fringe benefit; (b) an in ‑ house property fringe benefit; or (c) an in ‑ house residual fringe benefit. in ‑ house health care facility , in relation to an employer, means a clinic, surgery, first ‑ aid station or similar facility that is: (a) operated wholly or principally for providing health care in respect of compensable work ‑ related trauma suffered: (i) in any case—by employees of the employer; or (ii) if the employer is a company—by employees of the employer or by employees of a company that is related to the employer; and (b) located: (i) on premises of the employer or, if the employer is a company, of the employer or of a company that is related to the employer; or (ii) at or adjacent to a place where employees of the employer or, if the employer is a company, of the employer or of a company that is related to the employer (other than members of the staff of the facility) perform the duties of their employment. in ‑ house non ‑ period residual fringe benefit means an in ‑ house residual fringe benefit that is not provided during a period. in ‑ house period residual fringe benefit means an in ‑ house residual fringe benefit that is provided during a period. in ‑ house property expense payment fringe benefit , in relation to an employer, means an expense payment fringe benefit in relation to the employer where: (a) the recipients expenditure was incurred in respect of the provision of tangible property by a person (in this definition called the property provider ); (b) the provision of the property is a property benefit; (c) if the property provider is the employer or an associate of the employer—at or about the provision time, the property provider carried on a business that consisted of or included the provision of identical or similar property principally to outsiders; (d) if the property provider is not the employer or an associate of the employer: (i) the property was acquired by the property provider from the employer or an associate of the employer (which employer or associate is in this definition called the seller ); and (ii) at or about the provision time, both the property provider and the seller carried on a business that consisted of or included the provision of identical or similar property principally to outsiders; and (e) documentary evidence of the recipients expenditure is obtained by the recipient and that documentary evidence, or a copy, is given to the employer before the declaration date. in ‑ house property fringe benefit , in relation to an employer, means a property fringe benefit in relation to the employer in respect of tangible property: (a) where both of the following conditions are satisfied: (i) the provider is the employer or an associate of the employer; and (ii) at or about the provision time, the provider carried on a business that consisted of or included the provision of identical or similar property principally to outsiders; or (b) where all of the following conditions are satisfied: (i) the provider is not the employer or an associate of the employer; (ii) the property was acquired by the provider from the employer or an associate of the employer (which employer or associate is in this definition called the seller ); and (iii) at or about the provision time, both the provider and the seller carried on a business that consisted of or included the provision of identical or similar property principally to outsiders. in ‑ house residual expense payment fringe benefit , in relation to an employer, means an expense payment fringe benefit in relation to the employer where: (a) the recipients expenditure was incurred in respect of the provision of a residual benefit (other than a benefit provided under a contract of investment insurance) by a person (in this definition called the residual benefit provider ); (b) if the residual benefit provider is the employer or an associate of the employer—at or about the time that, if the residual benefit had been a residual fringe benefit, would have been the comparison time, the residual benefit provider carried on a business that consisted of or included the provision of identical or similar benefits principally to outsiders; (c) if the residual benefit provider is not the employer or an associate of the employer: (i) the residual benefit provider purchased the benefit from the employer or an associate of the employer (which employer or associate is in this definition called the seller ); and (ii) at or about the time that, if the residual benefit had been a residual fringe benefit, would have been the comparison time, both the residual benefit provider and the seller carried on a business that consisted of or included the provision of identical or similar benefits principally to outsiders; and (d) documentary evidence of the recipients expenditure is obtained by the recipient and that documentary evidence, or a copy, is given to the employer before the declaration date. in ‑ house residual fringe benefit , in relation to an employer, means a residual fringe benefit in relation to the employer: (a) where both of the following conditions are satisfied: (i) the provider is the employer or an associate of the employer; (ii) at or about the comparison time, the provider carried on a business that consisted of or included the provision of identical or similar benefits principally to outsiders; or (b) where all of the following conditions are satisfied: (i) the provider is not the employer or an associate of the employer; (ii) the provider purchased the benefit from the employer or an associate of the employer (which employer or associate is in this definition called the seller ); (iii) at or about the comparison time, both the provider and the seller carried on a business that consisted of or included the provision of identical or similar benefits principally to outsiders; but does not include a benefit provided under a contract of investment insurance. injury means any physical or mental injury. in respect of , in relation to the employment of an employee, includes by reason of, by virtue of, or for or in relation directly or indirectly to, that employment. intangible property means: (a) real property; (b) a chose in action; and (c) any other kind of property other than tangible property; but does not include: (d) a right arising under a contract of insurance; or (e) a lease or licence in respect of real property or tangible property. interest , in relation to a loan, includes a payment in the nature of interest. internal Territory has a meaning affected by subsection 157(1). Note: See also section 2B of the Acts Interpretation Act 1901 . international aircrew expense payment benefit means an expense payment fringe benefit where the recipients expenditure: (a) is in respect of travel by the recipient in the course of performing the duties of the recipient’s employment as the pilot, flight engineer, flight attendant, or other member of the crew, of an aircraft, being expenditure in respect of accommodation, the purchase of food or drink or otherwise incidental to the travel; and (b) relates to travel by the recipient outside Australia. international aircrew property benefit means a property fringe benefit where the recipients property: (a) is in respect of travel by the recipient in the course of performing the duties of the recipient’s employment as the pilot, flight engineer, flight attendant or other member of the crew, of an aircraft, being property that is: (i) food or drink; (ii) in respect of accommodation; or (iii) otherwise incidental to the travel; and (b) relates to travel by the recipient outside Australia. international aircrew residual benefit means a residual fringe benefit where the recipients benefit: (a) is in respect of travel by the recipient in the course of performing the duties of the recipient’s employment as the pilot, flight engineer, flight attendant or other member of the crew of an aircraft, being a benefit that is in respect of accommodation or a benefit that is otherwise incidental to the travel; and (b) relates to travel by the recipient outside Australia. law , in relation to a foreign country, means a law of that country, or of any part of, or place in, that country. lease includes sub ‑ lease. leased means let on hire (including a letting on hire that is described in the relevant agreement as a lease) under an agreement other than a hire ‑ purchase agreement. leased car value , in relation to a car held but not owned by a person at a particular time, means: (a) in a case to which paragraph (b) does not apply—the amount that the person could reasonably be expected to have been required to pay to purchase the car from the owner at that time under an arm’s length transaction; or (b) if the person commenced to lease the car at that time from a lessor who purchased the car at or about that time—the cost price of the car to the lessor. liability to the Commonwealth means a liability to the Commonwealth arising under, or by virtue of, an Act of which the Commissioner has the general administration. liquidator , in relation to a company, means a person who, whether or not appointed as liquidator, is required by law to carry out the winding up of the company. living ‑ away ‑ from ‑ home allowance benefit means a benefit referred to in section 30. living ‑ away ‑ from ‑ home allowance fringe benefit means a fringe benefit that is living ‑ away ‑ from ‑ home allowance benefit. living ‑ away ‑ from ‑ home food fringe benefit means: (a) an expense payment fringe benefit provided in respect of the employment of an employee where: (i) the recipients expenditure was incurred in respect of food or drink; and (ii) the food or drink was not for consumption while the employee was undertaking travel in the course of performing the duties of that employment; and (iii) the food or drink was for consumption by eligible family members at a time when the duties of that employment required the employee to live away from his or her normal residence; or (b) a property fringe benefit provided in respect of the employment of an employee where: (i) the recipients property is food or drink; and (ii) the food or drink was not for consumption while the employee was undertaking travel in the course of performing the duties of that employment; and (iii) the food or drink was for consumption by eligible family members at a time when the duties of that employment required the employee to live away from his or her normal residence. loan includes: (a) an advance of money; (b) the provision of credit or any other form of financial accommodation; (c) the payment of an amount for, on account of, on behalf of or at the request of a person where there is an obligation (whether expressed or implied) to repay the amount; and (d) a transaction (whatever its terms or form) which in substance effects a loan of money. loan benefit means a benefit referred to in subsection 16(1). loan fringe benefit means a fringe benefit that is a loan benefit. log book records , in relation to a car held by a person (in this definition called the holder ), in relation to a period, means a daily log book or similar document in which, in respect of each business journey: (a) that is undertaken in the car during the period; and (b) that the holder, or a person acting on behalf of the holder, chooses to record in the document for the purpose of demonstrating the pattern of use of the car during the period; an entry setting out particulars of: (c) the date on which the journey began and the date on which it ended; and (d) the respective odometer readings of the car at the beginning and end of the journey; and (e) the number of kilometres travelled by the car in the course of the journey; and (f) the purpose or purposes of the journey; is made in the English language at, or as soon as reasonably practicable after, the end of the journey. long service award benefit , in relation to an employee of an employer, means a benefit provided to the employee, in respect of the employment of the employee, in, or in respect of, a year of tax solely by way of an award in recognition of the existence of a recognised long service period in relation to the employee that is not less than 15 years, but does not include: (a) a payment of salary or wages or a payment that would be salary or wages if salary or wages included exempt income for the purposes of the Income Tax Assessment Act 1936 ; (b) a benefit provided under a non ‑ arm’s length arrangement; or (c) a benefit provided under an arrangement where, having regard to: (i) the form and substance of the arrangement; (ii) the matters taken into account in determining the period of recognised long service leave recognised by the award; and (iii) the eligibility of other employees of the employer to be awarded benefits in recognition of the existence of recognised long service periods; it would be concluded that the arrangement, or any part of the arrangement, was entered into by any of the parties to the arrangement for the sole or dominant purpose of enabling the employer to obtain the benefit of the application of section 58Q. long service leave means: (a) long service leave; (b) long leave; (c) furlough; (d) extended leave; or (e) leave of a similar kind (however described). meal entertainment benefit means a benefit that is a meal entertainment benefit because of section 37AC. meal entertainment fringe benefit means a fringe benefit that is a meal entertainment benefit. meal entitlement day , in relation to a meal provided in a year of tax, in respect of the employment of an employee, to a person (in this definition referred to as the recipient ) being the employee or an associate of the employee, means a day in respect of which: (a) in respect of the employment of the employee, the recipient was entitled to be provided (whether without charge or otherwise) with residential accommodation; and (b) either of the following subparagraphs applies: (i) the recipient was entitled, pursuant to the provisions of an industrial instrument in respect of the employment of the employee, to be provided (whether without charge or otherwise) with not fewer than 2 meals on that day; (ii) the following conditions are satisfied: (A) under an arrangement that was in force during the whole or a part of the year of tax (which whole or part is in this subparagraph referred to as the arrangement period ) in respect of the employment of the employee, the recipient was entitled to be provided (whether without charge or otherwise) with not fewer than 2 meals on that day; (B) during the arrangement period, the recipient was also entitled under the arrangement to be provided (whether without charge or otherwise) with not fewer than 2 meals on each day during the arrangement period that was a working day in relation to the employee; (C) pursuant to the arrangement, the recipient was ordinarily provided (whether without charge or otherwise) with not fewer than 2 meals on the days referred to in sub ‑ subparagraph (B). migrant language training , in relation to a person, means a course attended by the person where: (a) at the time of attending the course, the person is, or intends to become, an immigrant to Australia; and (b) the course is designed to: (i) teach the English language; or (ii) impart an understanding of the rights and duties of an Australian citizen and of the way of living of the Australian people; to persons whose first language is not English. motor vehicle has the meaning given by subsection 995 ‑ 1(1) of the Income Tax Assessment Act 1997 . natural person does not include a natural person in the capacity of trustee. non ‑ arm’s length arrangement means an arrangement other than an arm’s length arrangement. non ‑ business accessory , in relation to a car, means an accessory fitted to the car, whether at the factory where the car was assembled or at some other place, other than an accessory required to meet the special needs of any business operations in relation to which the car is used. non ‑ deductible entertainment expenditure means a loss or outgoing to the extent to which: (a) section 32 ‑ 5 of the Income Tax Assessment Act 1997 applies to it, or would apply if it were incurred in producing assessable income; and (b) apart from that section, it would be deductible under section 8 ‑ 1 of that Act, or would be if it were incurred in producing assessable income; (on the assumption that section 32 ‑ 20 of the Income Tax Assessment Act 1997 had not been enacted). non ‑ deductible exempt entertainment expenditure means non ‑ deductible entertainment expenditure to the extent to which it is not incurred in producing assessable income. non ‑ profit company means a company that is not carried on for the purposes of profit or gain to its individual members and is, by the terms of the company’s constituent document, prohibited from making any distribution, whether in money, property or otherwise, to its members. normal residence , in relation to an employee, means: (a) if the employee’s usual place of residence is in Australia—the employee’s usual place of residence; or (b) otherwise—either: (i) the employee’s usual place of residence; or (ii) the place in Australia where the employee usually resides when in Australia. notional amount of interest , in relation to a loan in relation to a year of tax, means the amount of interest that would have accrued on the loan in respect of the year of tax if the interest were calculated on the daily balance of the loan at: (a) where the loan is an eligible pre ‑ commencement loan: (i) the statutory interest rate in relation to the time when the loan was made; or (ii) the statutory interest rate in relation to the year of tax; whichever is the less; (b) where the loan is not an eligible pre ‑ commencement loan, was made before 3 April 1986 and is a housing loan relating to a dwelling: (i) the statutory interest rate in relation to the year of tax; or (ii) 13.5% per annum; whichever is the less; or (c) in any other case—the statutory interest rate in relation to the year of tax. notional taxable value , in relation to a benefit provided in, or in respect of, a year of tax in respect of the employment of an employee of an employer, means the amount that, if it were assumed that: (a) in the case of a car benefit—the car benefit was a residual benefit; and (b) in all cases—the benefit was a fringe benefit in relation to the employer in relation to the year of tax; would be the taxable value of the fringe benefit in relation to the year of tax. notional tax amount has the meaning given by section 110. notional value , in relation to the provision of property or another benefit to a person, means the amount that the person could reasonably be expected to have been required to pay to obtain the property or other benefit from the provider under an arm’s length transaction. obligation , in relation to the payment or repayment of an amount, includes an obligation that is not enforceable by legal proceedings. odometer records , in relation to a car, in relation to a period, means a document in which particulars of: (a) the odometer reading of the car at the commencement of the period; and (b) the odometer reading of the car at the end of the period; and (c) if paragraph 162K(2)(b) or 162L(2)(b) applies with effect from a particular date—the odometer readings of both the replacement car and of the original car referred to in that paragraph, as at that date; are entered in the English language, at, or as soon as reasonably practicable after, the respective times to which those odometer readings relate. offence against this Act includes an offence against: (a) the Crimes Act 1914 ; or (b) the Taxation Administration Act 1953 ; relating to this Act. officer means a person appointed or engaged under the Public Service Act 1999 . once ‑ only deduction , in relation to expenditure, means a deduction in a year of income in respect of a percentage of the expenditure where no deduction is allowable in respect of a percentage of the expenditure in any other year of income. original assessment date means: (a) in relation to an assessment other than an amended assessment—the day on which the assessment was made; and (b) in relation to an assessment being the first or a subsequent amendment of an assessment to which paragraph (a) applies—the day on which the original assessment was made. outsider , in relation to the employment of an employee of an employer, means a person not being: (a) an employee of the employer; (b) an employee of an associate of the employer; (c) an employee of a person (in this definition referred to as the provider ) other than the employer or an associate of the employer who provides benefits to, or to associates of, employees of the employer or an associate of the employer under an arrangement between: (i) the employer or an associate of the employer; and (ii) the provider or another person; or (d) an associate of an employee to whom any of the preceding paragraphs apply. parent has the meaning given by subsection 995 ‑ 1(1) of the Income Tax Assessment Act 1997 . period residual fringe benefit means a residual fringe benefit that is provided during a period. person includes: (a) a body politic; (b) a body corporate; (c) a partnership; (d) any other unincorporated association or body of persons; and (e) a person in the capacity of trustee. personal services includes services as a personal secretary or chauffeur. place of residence , in relation to a person, means: (a) a place at which the person resides; or (b) a place at which the person has sleeping accommodation; whether on a permanent or temporary basis and whether or not on a shared basis. preferential air fare means an air fare charged by a person in respect of travel over a route, being an air fare the payment of which entitles the person travelling to benefits to which some of the other passengers on the same flight are not entitled. primary place of employment , in relation to an employee in relation to a day, means business premises, or associated premises, of the employer of the employee, or of an associate of the employer, where: (a) if the employee performed duties of his or her employment on that day—on that day; or (b) in any other case—on the most recent day before that day on which the employee performed duties of his or her employment; those premises are or were: (c) the sole or primary place of employment of the employee; or (d) otherwise the sole or primary place from which or at which the employee performs duties of his or her employment. private use , in relation to a motor vehicle, in relation to an employee or an associate of an employee, means any use of the motor vehicle by the employee or associate, as the case may be, that is not exclusively in the course of producing assessable income of the employee. producing assessable income includes: (a) gaining assessable income; or (b) carrying on a business for the purpose of gaining or producing assessable income. property means: (a) intangible property; and (b) tangible property. property benefit means a benefit referred to in section 40, but does not include a benefit that is a benefit by virtue of a provision of Subdivision A of Divisions 2 to 10 (inclusive) of Part III. property fringe benefit means a fringe benefit that is a property benefit. provide : (a) in relation to a benefit—includes allow, confer, give, grant or perform; and (b) in relation to property—means dispose of (whether by sale, gift, declaration of trust or otherwise): (i) if the property is a beneficial interest in property but does not include legal ownership—the beneficial interest; or (ii) in any other case—the legal ownership of the property. provider , in relation to a benefit, means the person who provides the benefit. providers portion , in relation to an expense payment fringe benefit, means whichever of the following amounts is applicable: (a) the amount of the payment referred to in paragraph 20(a) reduced by the amount of the recipients contribution; (b) the amount of the reimbursement referred to in paragraph 20(b). provision time , in relation to the provision of property, means the time when the property is provided. quarter means a period of 3 calendar months commencing on 1 January, 1 April, 1 July or 1 October. rebatable employer has the meaning given by section 65J. recipient , in relation to a benefit, means the person to whom the benefit is provided. recipients benefit , in relation to a residual benefit, means the benefit to which the residual benefit relates. recipients contribution : (a) in relation to a car parking fringe benefit, a property fringe benefit, a residual fringe benefit or a board fringe benefit, being a fringe benefit provided in respect of the employment of an employee of an employer, means the amount of any consideration paid to the provider or to the employer by the recipient or by the employee in respect of the provision of the recipients parking, the recipients property, the recipients benefit or the recipients meal, as the case may be, reduced by the amount of any reimbursement paid to the recipient in respect of that consideration; and (b) in relation to an expense payment fringe benefit provided in respect of the employment of an employee of an employer, being a fringe benefit to which paragraph 20(a) applies—the amount paid to the provider or to the employer by the recipient or by the employee in respect of the provision of the fringe benefit. recipients current benefit , in relation to a period residual fringe benefit in relation to a year of tax, means the benefit to which the fringe benefit relates, insofar as that benefit was provided during the year of tax. recipients current housing right , in relation to a housing fringe benefit in relation to a year of tax, means the housing right to which the fringe benefit relates, insofar as that housing right subsisted during the year of tax. recipients expenditure , in relation to an expense payment benefit, means the expenditure incurred by the recipient as mentioned in paragraph 20(a) or (b), as the case requires. recipients meal , in relation to a board fringe benefit, means the meal to which the fringe benefit relates. recipients overall benefit , in relation to a period residual fringe benefit in relation to a year of tax, means the benefit to which the fringe benefit relates, including that benefit as it was or will be provided at any time outside the year of tax. recipients overall housing right , in relation to a housing fringe benefit in relation to a year of tax, means the housing right to which the fringe benefit relates, including that housing right as it subsisted, or will subsist, outside the year of tax. recipients parking , in relation to a car parking fringe benefit, means the provision of the parking facilities to which the benefit relates. recipients portion , in relation to an expense payment fringe benefit, means the recipients expenditure reduced by whichever of the following amounts is applicable: (a) the amount of the payment referred to in paragraph 20(a) reduced by the amount of the recipients contribution; (b) the amount of the reimbursement referred to in paragraph 20(b). recipients property , in relation to a property benefit, means the property to which the benefit relates. recipients rent , in relation to a housing fringe benefit in relation to an employee of an employer in relation to a year of tax, means the amount of any rent or other consideration paid to the provider or to the employer by the recipient or the employee in respect of the subsistence, during the year of tax, of the recipients housing right reduced by the amount of any reimbursement paid to the recipient in respect of that consideration. recipients unit of accommodation , in relation to a housing fringe benefit, means the unit of accommodation to which the fringe benefit relates. recognised long service period , in relation to an employee of an employer, means: (a) if the employee has an entitlement to long service leave under: (i) a law of the Commonwealth, a State, a Territory or a foreign country; (ii) an award, order, determination or industrial agreement in force under any such law; (iii) a scheme or arrangement by reason of the existence and nature of which the employer has secured an exemption from obligations to comply with any such law relating to long service leave; (iv) a contract of employment; or (v) the terms of appointment to an office; the period by reference to which that long service leave is determined; (b) if: (i) long service leave may be made available to the employee as a privilege; and (ii) the availability of that leave is determined by reference to matters similar to matters by reference to which an entitlement of the kind referred to in paragraph (a) is ordinarily determined; the period by reference to which that long service leave is determined; or (c) in any other case: (i) the period for which the employee has been employed by the employer; or (ii) such longer period of employment (whether with that employer or any other employer) as might reasonably be expected to be taken into account in determining long service leave if the employee had an entitlement to long service leave. recreation includes: (a) amusement; (b) sport or similar leisure ‑ time pursuits; and (c) recreation or amusement provided on, or by means of, a vehicle, ship, vessel or aircraft. recreational facility means a facility for recreation, but does not include a facility for accommodation or a facility for drinking or dining. reducible fringe benefit has the meaning given by section 65CC. registered charity means an entity that is registered under the Australian Charities and Not ‑ for ‑ profits Commission Act 2012 as the type of entity mentioned in column 1 of item 1 of the table in subsection 25 ‑ 5(5) of that Act. registered health promotion charity means an institution that is: (a) a registered charity; and (b) registered under the Australian Charities and Not ‑ for ‑ profits Commission Act 2012 as the subtype of entity mentioned in column 2 of item 13 of the table in subsection 25 ‑ 5(5) of that Act. registered public benevolent institution means an entity that is: (a) a registered charity; and (b) registered under the Australian Charities and Not ‑ for ‑ profits Commission Act 2012 as the subtype of entity mentioned in column 2 of item 14 of the table in subsection 25 ‑ 5(5) of that Act. registered religious institution means an institution that is: (a) a registered charity; and (b) registered under the Australian Charities and Not ‑ for ‑ profits Commission Act 2012 as the subtype of entity mentioned in column 2 of item 4 of the table in subsection 25 ‑ 5(5) of that Act. registered tax agent has the meaning given by subsection 90 ‑ 1(1) of the Tax Agent Services Act 2009 . reimburse includes any act having the effect or result, direct or indirect, of a reimbursement. relative has the meaning given by subsection 995 ‑ 1(1) of the Income Tax Assessment Act 1997 . religious practitioner has the meaning given by subsection 995 ‑ 1(1) of the Income Tax Assessment Act 1997 . remote area housing benefit has the meaning given by subsection 58ZC(2). rent index number (a) in relation to a quarter in relation to a State or Territory—means the index number for the rent sub ‑ group of the Consumer Price Index published by the Australian Statistician in respect of that quarter for the capital city of that State or Territory; or (b) in relation to a quarter in relation to Australia—means the index number for the rent sub ‑ group of the Consumer Price Index, being the weighted average of the 8 capital cities, published by the Australian Statistician in respect of that quarter. reportable fringe benefits amount for a year of income in respect of the employment of an employee by an employer has the meaning given by section 135P or 135Q (as appropriate). reportable fringe benefits total of an employee for a year of income has the meaning given by section 135N. residential fuel means any form of fuel (including electricity) for use for domestic purposes. residual benefit means a benefit that is a residual benefit by virtue of section 45. residual fringe benefit means a fringe benefit that is a residual benefit. retention period , in relation to a statutory evidentiary document in relation to an employer in relation to a year of tax, means the period that: (a) commences on: (i) where the statutory evidentiary document is maintained by or on behalf of the employer—the day on which the document commences to be maintained; or (ii) in any other case—the day on which the statutory evidentiary document is given to the employer; and (b) ends: (i) in a case to which subparagraph (ii) does not apply—at the end of the period of 5 years commencing on the original assessment date in relation to an assessment of the fringe benefits taxable amount of the employer of the year of tax; or (ii) if, at the end of that period of 5 years, an objection, or a request for amendment of an assessment (not being an objection) relating to a matter, or matters including a matter, to which the statutory evidentiary document is relevant, or a review or appeal arising out of such an objection, has not been determined or otherwise finally disposed of—on the day on which the objection (and any review or appeal arising out of it), the request, or review or appeal (and any appeal or further appeal arising out of it), as the case may be, is determined or so disposed of. safety award benefit , in relation to an employee of an employer, means a benefit provided to the employee, in respect of the employment of the employee, solely by way of an award in recognition of the special achievements of the employee, or of the employee and another person or persons, in occupational health matters, or in occupational safety matters, relating to the employment of the employee, or of the employee and that other person or persons, but does not include: (a) a payment of salary or wages or a payment that would be salary or wages if salary or wages included exempt income for the purposes of the Income Tax Assessment Act 1936 ; (b) a benefit provided under a non ‑ arm’s length arrangement; or (c) a benefit provided under an arrangement where, having regard to: (i) the form and substance of the arrangement; (ii) the achievements recognised by the award; and (iii) the eligibility of other employees of the employer to be awarded benefits in recognition of their special achievements in occupational health matters or in occupational safety matters; it would be concluded that the arrangement, or any part of the arrangement, was entered into by any of the parties to the arrangement for the sole or dominant purpose of enabling the employer to obtain the benefit of the application of section 58R. salary or wages means: (a) a payment from which an amount must be withheld (even if the amount is not withheld) under a provision in Schedule 1 to the Taxation Administration Act 1953 listed in the table, to the extent that the payment is assessable income; and (aa) a payment from which an amount must be withheld (even if the amount is not withheld) under paragraph 12 ‑ 110(1)(ca) (about parental leave pay) in Schedule 1 to the Taxation Administration Act 1953 , other than a payment under Part 3 ‑ 3 of the Paid Parental Leave Act 2010 (Payment of instalments by Secretary); and (b) a payment from which an amount must be withheld (even if the amount is not withheld) under section 12 ‑ 47 in Schedule 1 to the Taxation Administration Act 1953 where: (i) the payment is made to a religious practitioner by a religious institution; and (ii) the activity, or series of activities, for which the payment is made is done by the religious practitioner as a member of the religious institution. Withholding payments covered Item Provision Subject matter 1 Section 12 ‑ 35 Payment to employee 2 Section 12 ‑ 40 Payment to company director 3 Section 12 ‑ 45 Payment to office holder 4 Section 12 ‑ 115 Commonwealth education or training payment 5 Section 12 ‑ 120 Compensation, sickness or accident payment salary packaging arrangement means an arrangement under which a benefit is provided to an employee, or an associate of an employee, if: (a) the benefit is provided in return for the employee agreeing to a reduction in the employee’s salary or wages that would not have happened apart from the arrangement; or (b) the arrangement is part of the employee’s remuneration package, and the benefit is provided in circumstances where it is reasonable to conclude that the employee’s salary or wages would be greater if the benefit were not provided. Second Commissioner means a Second Commissioner of Taxation. small business entity has the same meaning as in the Income Tax Assessment Act 1997 . small expense payment fringe benefit means an expense payment fringe benefit where the recipients expenditure does not exceed $10. spouse has the meaning given by subsection 995 ‑ 1(1) of the Income Tax Assessment Act 1997 . stand ‑ by airline travel value , in relation to an airline transport fringe benefit, means: (a) if the transport is over a domestic route—50% of the carrier’s lowest standard single economy air fare: (i) for that route; and (ii) as publicly advertised during the year of tax; or (b) if the transport is over an international route—50% of the lowest of any carrier’s standard single economy air fare: (i) for that route; and (ii) as publicly advertised during the year of tax. statutory evidentiary document , in relation to an employer in relation to a year of tax (in this definition called the current year of tax ), means: (a) a declaration or other document that is: (i) given to the employer pursuant to a provision of Part III or of a definition in this subsection that is relevant to that Part; and (ii) relevant for the purposes of determining: (A) the taxable value of a fringe benefit provided in, or in respect of, the current year of tax in respect of the employment of an employee of the employer; (AA) the notional taxable value of a benefit provided in, or in respect of, the current year of tax in respect of the employment of an employee of the employer; or (B) whether a benefit provided in, or in respect of, the current year of tax in respect of the employment of an employee of the employer is an exempt benefit; and (aa) records of a nomination under section 162K or 162L that: (i) are maintained by the employer in relation to the current year of tax; or (ii) were maintained by the employer in relation to an earlier year of tax but are relevant to the employer’s liability under this Act in respect of the current year of tax; (ab) a record of the business use percentage specified by the employer for the current year of tax; and (b) a document maintained by the employer in relation to the current year of tax as mentioned in section 10A or paragraph 10B(a) or sub ‑ subparagraph 24(1)(c)(ia)(A) or 24(1)(c)(i)(B); and (c) log book records or odometer records maintained in relation to a particular car where any of the following subparagraphs apply: (i) both of the following conditions are satisfied: (A) the current year of tax is not a log book year of tax of the employer in relation to the car; (B) section 10A required the records to be maintained by or on behalf of the provider of a car fringe benefit in relation to the employer as a condition of the employer being entitled, in respect of the year of tax that was the last log book year of tax of the employer in relation to the car before the current year of tax, to a reduction in the operating cost of the car on account of business journeys undertaken in the car during that last log book year of tax; (ii) both of the following conditions are satisfied: (A) the current year of tax is not a log book year of tax of the recipient of a loan fringe benefit, an expense payment fringe benefit, a property fringe benefit or a residual fringe benefit in relation to the car while it was held by the recipient during a period in the current year of tax; (B) section 65E required the records to be maintained by or on behalf of the recipient as a condition of the employer being entitled, in relation to the year of tax that was the last log book year of tax of the recipient before the current year of tax, to a reduction of the taxable value of a fringe benefit on account of business journeys undertaken in the car in that last log book year of tax; and (d) a no ‑ private ‑ use declaration or a recurring fringe benefit declaration that covers benefits provided in the current year of tax. statutory food amount , in relation to a person, in relation to a period in relation to a year of tax, means the amount calculated in respect of that period: (a) in a case where the person had attained the age of 12 years before the beginning of the year of tax—at the rate of $42 per week; and (b) in any other case—at the rate of $21 per week. statutory interest rate : (a) in relation to a year of tax, means the benchmark interest rate in relation to the year of tax; or (b) in relation to a time (in this paragraph referred to as the loan time ) before 1 July 1986, means: (i) if the loan time occurred after 2 April 1986: (A) if there is only 1 benchmark interest rate in relation to the loan time—that rate; (B) if there are 2 or more benchmark interest rates in relation to the loan time—the lower or lowest of those rates; or (C) if there is no benchmark interest rate in relation to the loan time—such rate as is prescribed; (ii) if the loan time occurred during a period specified in the Schedule—the rate specified in the Schedule in relation to that period; and (iii) if the loan time occurred before 1 January 1946—3.875% per annum. stratum unit , in relation to a dwelling, means a unit on a unit plan registered under a law of a State or Territory that provides for the registration of titles of a kind known as unit titles or strata titles, being a unit that comprises: (a) a part of a building containing the dwelling, being a part consisting of a flat or home unit; or (b) a part of a parcel of land, being a part on which the building containing the dwelling is constructed. supplementary car rate , in relation to a year of tax, means the rate prescribed for the purposes of this definition in relation to the year of tax. tangible property means goods and includes: (a) animals, including fish; and (b) gas and electricity. tax ‑ exempt body entertainment benefit means a benefit referred to in section 38. tax ‑ exempt body entertainment fringe benefit means a fringe benefit that is a tax ‑ exempt body entertainment benefit. taxi travel has the meaning given by the A New Tax System (Goods and Services Tax) Act 1999 . tenancy period , in relation to a housing benefit in relation to a year of tax, means the period during the year of tax when the housing right to which the benefit relates subsisted. this Act includes: (a) the regulations; and (b) Part IVC of the Taxation Administration Act 1953 , insofar as that Part relates to this Act. travel diary , in relation to particular travel undertaken by the recipient of an expense payment fringe benefit, a property fringe benefit or a residual fringe benefit, means a diary or similar document, in the English language, in which, in relation to each activity engaged in by the recipient: (a) while undertaking that travel; and (b) in the course of producing assessable income of the recipient; the recipient has made, before, at the time of, or as soon as reasonably practicable after, the conclusion of the activity, an entry setting out particulars of: (d) the place where the activity was undertaken; (e) the date and approximate time when the activity commenced; (f) the duration of the activity; and (g) the nature of the activity; and includes a copy of such a diary or document. trustee includes: (a) a person appointed or constituted trustee by act of parties, by order or declaration of a court, or by operation of law; or (b) an executor, administrator or other personal representative of a deceased person; or (c) a guardian or committee; or (d) a receiver or receiver and manager; or (e) a liquidator of a company; or (ea) an administrator, within the meaning of the Corporations Act 2001 , of a company; or (eb) an administrator of a deed of company arrangement executed by a company under Part 5.3A of that Act; or (f) a person: (i) having or taking upon himself or herself the administration or control of any real or personal property affected by any express or implied trust; (ii) acting in any fiduciary capacity; or (iii) having the possession, control or management of any real or personal property of a person under any legal or other disability. unincorporated company means a company being an unincorporated association or other unincorporated body of persons. unit of accommodation includes: (a) a house, flat or home unit; (aa) accommodation in a house, flat or home unit; (b) accommodation in a hotel, hostel, motel or guesthouse; (c) accommodation in a bunkhouse or any living quarters; (d) accommodation in a ship, vessel or floating structure; and (e) a caravan or other mobile home. unreimbursed expenditure means expenditure no part of which has been reimbursed. unreimbursed interest means interest no part of which has been reimbursed. waive includes release. workers’ compensation law means a law of the Commonwealth, a State, a Territory or a foreign country that provides for compensation or other benefits for or in respect of work ‑ related trauma suffered by employees without requiring proof of any breach by, or by persons associated with, employers. work ‑ related counselling : (a) in relation to an employee of an employer, means counselling attended by the employee; and (b) in relation to an associate of an employee of an employer, means counselling attended by the associate where the associate is accompanied by the employee; where all of the following conditions are satisfied: (c) the attendance of: (i) if paragraph (a) applies—the employee; and (ii) if paragraph (b) applies—both the employee and the associate; at the counselling gives effect to an objective, purpose, plan or policy devised, adopted or required to be followed, by the employer to: (iii) improve or maintain the quality of the performance of employees’ duties; or (iv) prepare employees for retirement; (d) the counselling relates to any of the following matters: (i) safety; (ii) health; (iii) fitness; (iv) stress management; (v) personal relationships; (vi) retirement problems; (vii) drug or alcohol abuse; (viii) rehabilitation or prevention of work ‑ related trauma or of other disease or injury; (ix) first aid; (x) any similar matter; (e) there is no benefit that: (i) is provided in respect of the employment of the employee; (ii) consists of the provision of, or relates to, the counselling; and (iii) is provided wholly or principally as a reward for services rendered or to be rendered by the employee. work ‑ related medical examination , in relation to a benefit provided in respect of the employment of an employee, means an examination or test carried out by, or on behalf of, an audiometrist or a legally qualified medical practitioner, nurse, dentist or optometrist wholly or principally in order to ascertain the physiological or psychological condition of the employee for any or all of the following purposes: (a) the commencement of the employment of the employee; (b) the confirmation of probationary employment of the employee; (c) a change in the duties or location of the employment of the employee; (d) the employee becoming a member of a superannuation fund. work ‑ related medical screening , in relation to an employee of an employer, means an examination or test carried out by, or on behalf of, an audiometrist or a legally qualified medical practitioner, nurse, dentist or optometrist wholly or principally in order to ascertain whether the employee has suffered, is suffering or is at risk of suffering, from work ‑ related trauma, but does not include an examination or test that is not made available generally to all employees of the employer: (a) who are likely to have suffered, be suffering or be at risk of suffering, from similar work ‑ related trauma; (b) who perform the duties of their employment at or near the place where the employee performs the duties of his or her employment; and (c) whose duties of employment are similar to those of the employee. work ‑ related preventative health care , in relation to an employee of an employer, means any form of care provided by, or on behalf of, a legally qualified medical practitioner, nurse, dentist or optometrist wholly or principally in order to prevent the employee suffering from work ‑ related trauma, but does not include a form of care that is not made available generally to all employees of the employer: (a) who are likely to be at risk of suffering from similar work ‑ related trauma; (b) who perform the duties of their employment at or near the place where the employee performs the duties of his or her employment; and (c) whose duties of employment are similar to those of the employee. work ‑ related trauma , in relation to an employee, means: (a) the injury of the employee (including the aggravation, acceleration or recurrence of an injury of the employee); (b) the contraction, aggravation, acceleration or recurrence of a disease of the employee; (c) the loss or destruction of, or damage to: (i) an artificial limb or other artificial substitute; (ii) a medical, surgical or similar aid or appliance used by the employee; or (iii) clothing worn by the employee; or (d) the coming into existence, the aggravation, acceleration or recurrence of any other physiological or psychological condition in relation to the employee that is or may be harmful or disadvantageous to, or result in harm or disadvantage to, the employee; that is related to any employment of the employee. work ‑ related travel , in relation to an employee, means: (a) travel by the employee between: (i) the place of residence of the employee; and (ii) the place of employment of the employee or any other place from which or at which the employee performs duties of his or her employment; or (b) travel by the employee that is incidental to travel in the course of performing the duties of his or her employment. year of income means an income year (within the meaning of the Income Tax Assessment Act 1997 ). year of tax means the year starting on 1 April 1987, and each later year starting on 1 April. zero or low emissions vehicle has the meaning given by subsection 8A(2). (2) In the definition of business premises in subsection (1), premises includes a ship, vessel, floating structure, aircraft or train.

Amendment history: Amended by No 48 of 1986, effective s. 31 and Parts VII, VIII (ss. 45–56): (a) Remainder: 1 July 1986 | Amended by No 139 of 1987, effective 18 Dec 1987 | Amended by No 6 of 1988, effective s. 69(1): Royal Assent (d) | Amended by No 95 of 1988, effective ss. 44(a) and 54(11): (e) Remainder: Royal Assent | Amended by No 153 of 1988, effective Div. 6 of Part III (s. 43): 1 Jan 1989 Remainder: Royal Assent | Amended by No 11 of 1989, effective 16 Mar 1989 | Amended by No 97 of 1989, effective 30 June 1989 | Amended by No 48 of 1991, effective Part 2 (s 3–7): 24 Apr 1991 (s 2(1)) | Amended by No 216 of 1991, effective s 5–8, 88, 123, 124: 24 Dec 1991 (s 2(1)) s 113, 114: 1 Mar 1992 (s 2(10) and gaz 1992, No GN7) | Amended by No 210 of 1992, effective Part 1 (ss. 1–3): Royal Assent ss. 26(2) and 28(1): 1 Feb 1994 ss. 29–173 and 177: 23 June 1993 ( see Gazette 1993, No. S186) Remainder: 1 Feb 1993 ( see Gazette 1993, No. S25) | Amended by No 223 of 1992, effective 1 Apr 1994 | Amended by No 237 of 1992, effective 24 Dec 1992 | Amended by No 17 of 1993, effective s 3–6: 9 June 1993 (s 2(1) | Amended by No 57 of 1993, effective 27 Oct 1993 | Amended by No 118 of 1993, effective s 7–12, 176: 24 Dec 1993 (s 2(1)) s 180–182: 1 Apr 1994 (s 2(5)) | Amended by No 56 of 1994, effective s 3–12: 7 Apr 1994(s 2(1)) | Amended by No 82 of 1994, effective s 3–6, 128–131: 23 June 1994 (s 2(1)) | Amended by No 181 of 1994, effective Schedule 1 (items 22–85): 13 Oct 1994 Remainder: Royal Assent | Amended by No 30 of 1995, effective 7 Apr 1995 | Amended by No 145 of 1995, effective 12 Dec 1995 | Amended by No 169 of 1995, effective Sch 2 (item 9): 16 Dec 1995 (s 2(1)) | Amended by No 43 of 1996, effective Sch 2 (item 58): 18 Dec 1987 (s 2(2)) Sch 2 (item 59): 24 June 1986 (s 2(2)) | Amended by No 39 of 1997, effective 1 July 1997 | Amended by No 62 of 1997, effective 2 June 1997 ( see s. 2 and Gazette 1997, No. S202) | Amended by No 121 of 1997, effective s 4: 8 July 1997 (s 2(1)) Sch 4 (items 139, 140) and Sch 10 (items 16–23): 1 July 1997 (s 2(3)) | Amended by No 174 of 1997, effective Sch 7 (items 19–32): 21 Nov 1997 (s 2(1)) | Amended by No 17 of 1998, effective 16 Apr 1998 | Amended by No 41 of 1998, effective Schedule 5 (items 1–15, 20): Royal Assent | Amended by No 47 of 1998, effective Schedule 8 (items 11, 12): 23 June 1998 (s 2(1)) | Amended by No 11 of 1999, effective Schedule 1 (items 1–11, 398, 399, 404, 405): 1 July 1999 | Amended by No 16 of 1999, effective Schedule 2, Schedule 3 (items 1–7, 12) and Schedule 12: 9 Apr 1999 (s 2(1)) | Amended by No 17 of 1999, effective Schedule 1 (items 1–16): 19 Apr 1999 (s 2(1)) | Amended by No 146 of 1999, effective Sch 1 (item 495): 5 Dec 1999 (s 2(1)) | Amended by No 178 of 1999, effective Sch 1 (items 79–84) and Sch 2 (items 94–140): 22 Dec 1999 (s 2(1)) | Amended by No 44 of 2000, effective Sch 2 (items 1, 3, 4, 6–8, 11(1)): 1 Apr 2000 (s 2(2)) Sch 2 (items 2, 5, 9, 10, 11(2)): 1 Apr 2001 (s 2(3)) Sch 3 (items 7–10): 22 Dec 1999 (s 2(1)) | Amended by No 52 of 2000, effective Sch 1: 30 May 2000 (s 2) | Amended by No 91 of 2000, effective Sch 2 (items 8, 8A, 9–12): 1 July 2000 (s 3(1)) Sch 2 (items 148–157): 1 Apr 2001 (s 3(3)) | Amended by No 55 of 2001, effective s 4–14 and Sch 3 (items 207–209): 15 July 2001 (s 2(3) and gaz 2001, No S285) | Amended by No 73 of 2001, effective Sch 3 (items 1–8): 30 June 2001 (s 2(1)) | Amended by No 89 of 2001, effective Sch 1 (items 8–10, 11(2)): 18 July 2001 (s 2) | Amended by No 168 of 2001, effective Sch 1 (items 7–9) and Sch 5 (item 3): 1 Oct 2001 (s 2(1)) | Amended by No 57 of 2002, effective Sch 12 (items 2, 3): 23 June 1998 (s 2(1) item 20) | Amended by No 136 of 2002, effective Sch 3 (item 1): 19 Dec 2002 (s 2(1) item 6) | Amended by No 66 of 2003, effective Sch 7 (items 1–5): 30 June 2003 (s 2(1) item 8) | Amended by No 101 of 2003, effective Sch 2 (items 17, 18): 14 Oct 2003 (s 2(1) item 4) | Amended by No 95 of 2004, effective Sch 10 (items 18–27, 43, 44(3)): 1 July 2005 (s 2 (1) item 8) | Amended by No 41 of 2005, effective Sch 4 and Sch 10 (items 16–18): 1 Apr 2005 (s 2(1) item 5) Sch 10 (item 246): 1 Apr 2001 (s 2(1) item 8) | Amended by No 64 of 2005, effective Sch 4 (items 1, 37): 26 June 2005 (s 2(1) item 4) | Amended by No 32 of 2006, effective Sch 1 (item 3): 6 Apr 2006 (s 2) | Amended by No 58 of 2006, effective Sch 7 (items 32–34, 239, 240): 22 June 2006 (s 2(6), (24)) | Amended by No 101 of 2006, effective Sch 1 (items 1, 4), Sch 2 (items 81–112, 1017, 1020, 1021), Sch 5 (items 119–123) and Sch 6 (items 1, 5–11): 14 Sept 2006 (s 2(1) items 2, 4) | Amended by No 8 of 2007, effective Sch 1 (item 14): 30 June 2003 (s 2(1) item 11) Sch 4 (item 16): 15 Mar 2007 (s 2(1) item 44) | Amended by No 9 of 2007, effective Sch 5 (items 1–5, 36): 15 Mar 2007 (s 2(1) items 6, 8) | Amended by No 15 of 2007, effective Sch 1 (items 17–21, 406(1)–(3)): 15 Mar 2007 (s 2(1) item 2) | Amended by No 56 of 2007, effective Sch 3 (items 11–13, 39): 12 Apr 2007 (s 2) | Amended by No 79 of 2007, effective Sch 1 (items 30–32, 43(1)–(3)): 21 June 2007 (s 2(1) item 2) | Amended by No 143 of 2007, effective Sch 1 (items 9–17, 222, 225, 226) and Sch 7 (items 7, 8, 104(1)): 24 Sept 2007 (s 2(1) items 2, 11) | Amended by No 92 of 2008, effective Sch 1 (items 4, 26): 1 Oct 2008 (s 2(1) item 2) | Amended by No 144 of 2008, effective Sch 14 (items 3–6): 10 Dec 2008 (s 2(1) item 36) | Amended by No 88 of 2009, effective Sch 5 (items 19, 20, 288–305): (s 2(1) items 7, 10) | Amended by No 114 of 2009, effective Sch 1 (items 3, 4) and Sch 2: 1 Mar 2010 (s 2(1) items 2, 4) | Amended by No 133 of 2009, effective Sch 1 (items 8, 86, 87): 14 Dec 2009 (s 2(1) item 2) | Amended by No 105 of 2010, effective Sch 1 (item 36) and Sch 2 (items 1, 2): 1 Oct 2010 (s 2(1) items 9, 14) | Amended by No 32 of 2011, effective Sch 4 (item 115): 1 July 2011 (s 2(1) item 3) | Amended by No 41 of 2011, effective Sch 5 (items 4–8, 13): 28 June 2011 (s 2(1) item 10) Sch 5 (item 375): 27 June 2011 (s 2(1) item 23) | Amended by No 46 of 2011, effective Sch 2 (items 641, 642) and Sch 3 (items 10, 11): 27 Dec 2011 (s 2(1) items 5 and 12) | Amended by No 62 of 2011, effective Sch 5 (items 1–9): 29 June 2011 (s 2(1) item 7) Sch 5 (items 10–12): 1 Apr 2016 (s 2(1) item 8) | Amended by No 129 of 2011, effective Sch 2 (items 1–9): 3 Nov 2011 (s 2(1) item 3) Sch 2 (item 10): 27 Dec 2011 (s 2(1) item 4) | Amended by No 142 of 2012, effective Sch 1: 28 Sept 2012 (s 2(1) item 2) | Amended by No 169 of 2012, effective Sch 2 (items 42–58, 60–67) and Sch 4 (items 1–3): 3 Dec 2012 (s 2(1) items 3, 12) Sch 4 (items 16–20): never commenced (s 2(1) item 13) | Amended by No 84 of 2013, effective Sch 7 and Sch 8 (items 20–26): 28 June 2013 (s 2(1) items 2, 4) | Amended by No 88 of 2013, effective Sch 2 and Sch 7 (item 197): 28 June 2013 (s 2(1) items 4, 21) | Amended by No 96 of 2013, effective Sch 1 (items 15–18): 1 Jan 2014 (s 2(1)) | Amended by No 124 of 2013, effective Sch 11 (items 10–25, 27): 30 June 2013 (s 2(1) item 17) | Amended by No 2 of 2015, effective Sch 2 (item 22): 1 July 2015 (s 2(1) item 4) Sch 2 (items 73, 76–87, 95–99) and Sch 4 (items 67–69, 79): 25 Feb 2015 (s 2(1) items 5, 6) | Amended by No 70 of 2015, effective Sch 1 (item 45, 195–205): 1 July 2015 (s 2(1) items 3, 6) Sch 6 (item 4): 25 June 2015 (s 2(1) item 11) | Amended by No 114 of 2015, effective Sch 3: 26 Aug 2015 (s 2(1) item 1) | Amended by No 162 of 2015, effective Sch 1 (items 4–20) and Sch 3: 30 Nov 2015 (s 2(1) item 2) | Amended by No 64 of 2020, effective Sch 3 (items 63–71): 1 July 2020 (s 2(1) item 5) Sch 3 (items 202, 325, 326): 1 Oct 2020 (s 2(1) item 6) | Amended by No 86 of 2022, effective sch 1: 1 Jan 2023 (s 2(1) item 2) sch 2: 1 Apr 2025 (s 2(1) item 3) | Amended by No 38 of 2024, effective sch 1 (items 27, 28): 14 Oct 2024 (s 2(1) item 2)

s 136AB — What constitutes reasonable belief that a superannuation fund is a complying superannuation fund

(1) Subject to subsection (2), if a person makes a payment to a superannuation fund, the person is taken, for the purposes of paragraph (j) of the definition of fringe benefit in subsection 136(1), to have reasonable grounds for believing that the fund is a complying superannuation fund (as defined by the Income Tax Assessment Act 1997 ) if, at or before the time when the payment is made, the person has obtained a written statement, provided by or on behalf of the trustee of the fund, that the fund: (a) is a resident regulated superannuation fund within the meaning of the Superannuation Industry (Supervision) Act 1993 ; and (b) is not subject to a direction under section 63 of that Act. (2) A person who makes a payment to a superannuation fund is taken not to have reasonable grounds for believing that the fund is a complying superannuation fund if, when the payment is made: (a) the person: (i) is the trustee or the manager of the fund; or (ii) is an associate of the trustee or the manager of the fund; and (b) the person has reasonable grounds for believing that the fund is not a resident regulated superannuation fund within the meaning of the Superannuation Industry (Supervision) Act 1993 or is operating in contravention of a regulatory provision, as defined in section 38A of that Act. (3) Section 39 of the Superannuation Industry (Supervision) Act 1993 applies for the purposes of subsection (2) of this section in a corresponding way to the way in which it applies for the purposes of Division 2 of Part 5 of that Act.

Amendment history: Inserted by No 181 of 1994, effective Schedule 1 (items 22–85): 13 Oct 1994 Remainder: Royal Assent | Amended by No 123 of 2001, effective Sch 1 (item 237): 11 Mar 2002 (s 2(1), (6) and gaz 2001, No GN42) | Amended by No 15 of 2007, effective Sch 1 (items 17–21, 406(1)–(3)): 15 Mar 2007 (s 2(1) item 2)

s 136A — Reimbursement etc. of tax not to be regarded as consideration in respect of benefit etc.

For the purposes of this Act, an amount paid (including an amount deemed by section 145 to have been paid) in respect of fringe benefits tax shall not be regarded as also being consideration for or in respect of: (a) the provision of a benefit; or (b) any other matter.

Amendment history: Inserted by No 11 of 1989, effective 16 Mar 1989

s 137 — Salary or wages

(1) For the purpose only of ascertaining whether a person is an employee or an employer within the meaning of this Act, where: (a) a benefit is provided by a person (in this subsection referred to as the first person ) to, or to an associate of, another person (in this subsection referred to as the second person ); (b) but for this subsection, the benefit would not be regarded as having been provided in respect of the employment of the second person; and (c) either of the following conditions is satisfied: (i) if the benefit were provided by the first person by way of a cash payment to the second person, the payment would constitute salary or wages paid by the first person to the second person; (ii) all of the following conditions are satisfied: (A) subparagraph (i) does not apply in relation to the benefit; (B) the first person is an associate of a third person or the benefit is provided under an arrangement between the first person and a third person; (C) if the benefit were provided by the third person by way of a cash payment to the second person, the payment would constitute salary or wages paid by the third person to the second person; a definition in subsection 136(1) applies as if the benefit were salary or wages paid to the second person by: (d) in a case to which subparagraph (c)(i) applies—the first person; or (e) in a case to which subparagraph (c)(ii) applies—the third person.

Amendment history: Amended by No 178 of 1999, effective Sch 1 (items 79–84) and Sch 2 (items 94–140): 22 Dec 1999 (s 2(1))

s 138 — Double counting of fringe benefits

(1) Where: (a) a person (in this subsection referred to as the employee ) is both: (i) an employee of an employer (in this section referred to as the first employer ); and (ii) an employee of one or more associates of the first employer; (b) a benefit is provided to, or to an associate of, the employee by the first employer; and (c) the benefit is a fringe benefit in relation to the first employer; the benefit is not a fringe benefit in relation to an employer who is an associate of the first employer. (2) For the purposes of this Act, where, in a case to which subsection (1) does not apply, a benefit provided to, or to an associate of, an employee would, but for this subsection, be a fringe benefit in relation to 2 or more employers, the benefit shall be taken to be a fringe benefit in relation to such one of those employers as the Commissioner determines and not in relation to any other of those employers. (3) For the purposes of this Act, where a benefit in respect of the employment of an employee is provided jointly to the employee and one or more associates of the employee, the benefit shall be deemed to have been provided to the employee only. (4) For the purposes of this Act, where a benefit in respect of the employment of an employee is provided jointly to 2 or more associates of the employee but not to the employee, the benefit shall be taken to have been provided to such one of those associates as the Commissioner determines and not to any other of those associates.

s 138A — Benefit provided in respect of a year of tax

A reference in this Act to a benefit provided in respect of a year of tax is a reference to a benefit that is deemed to be provided in respect of the year of tax.

Amendment history: Inserted by No 139 of 1987, effective 18 Dec 1987

s 138B — Benefit provided in respect of the employment of an employee

A reference in this Act to a benefit provided in respect of the employment of an employee is a reference to a benefit provided, or originally provided, as the case may be, in respect of that employment.

Amendment history: Inserted by No 139 of 1987, effective 18 Dec 1987

s 138C — Application or use of benefit

A reference in this Act to the application or use of a benefit is a reference to the application or use of: (b) in the case of a board benefit—the recipients meal; (c) in the case of a loan benefit—the loan to which the benefit relates; (d) in the case of a property benefit—the recipients property; or (e) in the case of a residual benefit—the recipients benefit.

Amendment history: Inserted by No 139 of 1987, effective 18 Dec 1987 | Amended by No 88 of 2013, effective Sch 2 and Sch 7 (item 197): 28 June 2013 (s 2(1) items 4, 21)

s 139 — Date on which return furnished

Where an employer furnishes, on different dates, 2 or more returns to the Commissioner under this Act relating to a year of tax, a reference in this Act to the day on which the return relating to that year was furnished is a reference to the earliest of those dates.

s 140 — Eligible urban areas

(1) In this Act: (a) a reference to an eligible urban area is a reference to: (i) an area that: (A) is situated in an area described in Schedule 2 to the Income Tax Assessment Act 1936 ; and (B) is an urban centre with a census population of not less than 28,000; and (ii) an area that: (A) is not situated in an area described in Schedule 2 to the Income Tax Assessment Act 1936 ; and (B) is an urban centre with a census population of not less than 14,000; and (b) a reference to a location that is adjacent to an eligible urban area is a reference to a location that, as at the date of commencement of this section: (i) was situated less than 40 kilometres, by the shortest practicable surface route, from the centre point of an eligible urban area with a census population of less than 130,000; or (ii) was situated less than 100 kilometres, by the shortest practicable surface route, from the centre point of an eligible urban area with a census population of not less than 130,000. (1A) However, this Act operates in relation to a housing benefit provided in respect of the employment of an employee of an employer described in subsection (1B) or in respect of the employment of an employee described in subsection (1C), (1CA) or (1D) as if: (a) a reference in this Act (except in paragraph (1)(a), this paragraph and subsection 140(4)) to an eligible urban area were a reference to an eligible urban area that is an urban centre with a census population of not less than 130,000; and (b) subparagraph (1)(b)(i) were omitted. (1B) Subsection (1A) applies in relation to each of the following employers: (a) a public hospital; (c) a hospital carried on by a society or association that is a rebatable employer; (d) an employer that is a registered charity. (1C) Subsection (1A) also applies in relation to an employee: (a) whose employer is a government body; and (b) whose duties of employment are exclusively performed in, or in connection with: (i) a public hospital; or (ii) a hospital carried on by a society or association that is a rebatable employer. (1CA) Subsection (1A) also applies in relation to an employee: (a) whose employer provides public ambulance services or services that support those services; and (b) who is predominantly involved in connection with the provision of those services. (1D) Subsection (1A) also applies in relation to an employee: (a) whose employer is a government body; and (b) whose duties of employment are performed in a police service. (2) For the purposes of this section, the distance, by the shortest practicable surface route, between a location (in this subsection referred to as the tested location ) and the centre point of an eligible urban area is: (a) where there is only one location within the eligible urban area from which distances between the eligible urban area and other places are usually measured—the distance, by the shortest practicable surface route, between the tested location and that location; and (b) where there are 2 or more locations within the eligible urban area from which distances between parts of the eligible urban area and other places are usually measured—the distance, by the shortest practicable surface route, between the tested location and the one of those locations that is in the principal one of those parts. (2A) In applying subsection (2), if the shortest practicable surface route between the tested location and the location mentioned in that subsection includes a route by water, the distance between those locations is taken to be the amount worked out using the following formula: (3) In this section: census population , in relation to an urban centre, means the census count on an actual location basis of the population of that urban centre specified in the results of the Census of Population and Housing taken by the Australian Statistician on 30 June 1981, being the results published by the Australian Statistician in the document entitled “Persons and Dwellings in Local Government Areas and Urban Centres”. surface route means a route other than an air route. urban centre means an area that is described as an urban centre or bounded locality in the results of the Census of Population and Housing taken by the Australian Statistician on 30 June 1981, being the results published by the Australian Statistician in the document entitled “Persons and Dwellings in Local Government Areas and Urban Centres”. (4) If, but for this subsection, the whole or any part of a provision of this Act or of the Fringe Benefits Tax Act 1986 would be invalid by reason of the enactment of paragraph (1)(a) of this section, this Act has effect as if that paragraph were omitted and the following paragraph were substituted: “(a) a reference to an eligible urban area is a reference to an area that is an urban centre with a census population of not less than 14,000; and”.

Amendment history: Amended by No 52 of 2000, effective Sch 1: 30 May 2000 (s 2) | Amended by No 142 of 2003, effective Sch 5: 17 Dec 2003 (s 2(1) item 7) | Amended by No 83 of 2004, effective Sch 4 and Sch 8 (items 1–3, 5–8): 25 June 2004 (s 2(1) items 1, 18) Sch 8 (item 4): 1 July 2005 (s 2(1) item 19) | Amended by No 110 of 2006, effective Sch 1: 1 Apr 2007 (s 2(1) item 2) | Amended by No 169 of 2012, effective Sch 2 (items 42–58, 60–67) and Sch 4 (items 1–3): 3 Dec 2012 (s 2(1) items 3, 12) Sch 4 (items 16–20): never commenced (s 2(1) item 13) | Amended by No 124 of 2013, effective Sch 11 (items 10–25, 27): 30 June 2013 (s 2(1) item 17)

s 141 — Housing loans, prescribed interests in land or stratum units and proprietary rights in respect of dwellings

(1) For the purposes of this Act, where: (a) a loan is made to, and used by, a person (whether in his or her own right or jointly with his or her spouse) wholly: (i) to enable the person to acquire a prescribed interest in land on which a building constituting or containing a dwelling was subsequently to be constructed or to acquire a prescribed interest in land and construct, or complete the construction of, such a building on the land; (ii) to enable the person to construct, or complete the construction of, a building constituting or containing a dwelling on land in which the taxpayer held a prescribed interest; (iii) to enable the person to acquire a prescribed interest in land on which there was a building constituting or containing a dwelling; (iv) to enable the person to acquire a prescribed interest in a stratum unit in relation to a dwelling; (v) to enable the person to extend a building constituting or containing a dwelling, being a building constructed on land in which the taxpayer held a prescribed interest, by adding a room or part of a room to the building or the part of the building containing the dwelling, as the case may be; (vi) in a case where the person held a prescribed interest in a stratum unit in relation to a dwelling—to enable the person to extend the dwelling by adding a room or part of a room to the dwelling; (vii) to enable the person to acquire a proprietary right in respect of a dwelling, being a flat or a home unit; or (viii) to enable the person to repay a loan that was made to, and used by, the person wholly for a purpose mentioned in a preceding subparagraph of this paragraph; and (b) at the time the loan was made, the dwelling was used or proposed to be used as the person’s usual place of residence; the loan shall be taken to be a housing loan relating to the dwelling. (2) For the purposes of this Act: (a) where: (i) a person acquires, holds or held an estate in fee simple in land or in a stratum unit or 2 or more persons acquire, hold or held such an estate in land or in a stratum unit as joint tenants or tenants in common; (ii) a person acquires, holds or held an interest in land or in a stratum unit as lessee or licensee, or 2 or more persons acquire, hold or held jointly an interest in land or in a stratum unit as lessees or licensees, under a lease or licence, and the Commissioner is satisfied that the lease or licence gives or gave reasonable security of tenure to the lessee or licensee, or to the lessees or licensees, for a period of, or for periods aggregating, not less than 10 years; (iii) a person acquires, holds or held an interest in land or in a stratum unit as purchaser of an estate in fee simple in the land or in the stratum unit, or 2 or more persons acquired, hold or held an interest in land or in a stratum unit as purchasers of such an estate in the land or in the stratum unit as joint tenants or tenants in common, under an agreement that provides or provided for payment of the purchase price, or a part of the purchase price, to be made at a future time or by instalments; or (iv) a person acquires, holds or held an interest in land or in a stratum unit as purchaser, or 2 or more persons acquire, hold or held jointly an interest in land or in a stratum unit as purchasers, of the right to be granted a lease of the land or of the stratum unit under an agreement that provides or provided for payment of the purchase price, or a part of the purchase price, for the lease to be made at a future time or by instalments and the Commissioner is satisfied that the lease will give or gave reasonable security of tenure, to the lessee or lessees for a period of, or for periods aggregating, not less than 10 years; that person or those persons shall be taken to acquire or hold, or to have held, as the case may be, a prescribed interest in that land or in that stratum unit, as the case requires; and (b) where a person acquires, holds or held, or 2 or more persons acquire, hold or held jointly, a right of occupancy of a dwelling, being a flat or a home unit, arising by virtue of the acquiring or holding of shares, or by virtue of a contract to purchase shares, in a company that owns or owned the building that contains the flat or home unit, that person, or those persons, as the case requires, shall be taken to acquire or hold, or to have held, as the case may be, a proprietary right in respect of the dwelling; (c) where: (i) a loan that but for this paragraph would be a housing loan relating to a dwelling is made by a person (in this paragraph referred to as the lender ) to another person (in this paragraph referred to as the borrower ); (ii) the lender does not maintain an account in relation to the loan that is separate and apart: (A) from any account kept by the lender in relation to any moneys deposited with the lender or applied by the lender on behalf of the borrower otherwise than for the purpose of repaying the loan, in whole or in part, or of paying, in whole or in part, interest that has accrued or will accrue in respect of the loan; and (B) from any account kept by the lender in relation to any other loan made by the lender to the borrower; the loan referred to in subparagraph (i) is not a housing loan relating to a dwelling. (3) For the purposes of this Act, a loan shall not be taken to be a housing loan relating to a dwelling except as provided in this section.

Amendment history: Amended by No 139 of 1987, effective 18 Dec 1987

s 141A — Benefits incidental to acquisition or sale of prescribed interests in land or stratum units and proprietary rights in respect of dwellings

(1) For the purposes of this Act, recipients expenditure shall be taken to be incidental to the acquisition or sale of a prescribed interest in land or a stratum unit or of a proprietary right in respect of a dwelling if, and only if: (a) in the case of an acquisition of a prescribed interest in land on which the employee or associate concerned proposes to construct, or complete the construction of, a building constituting or containing a dwelling—the recipients expenditure is in respect of any of the following matters: (i) stamp duty; (ii) legal services; (iii) agent’s services; (iv) discharge of a mortgage; (v) expenses of borrowing; (vi) any similar matter; being a matter of a capital nature that is incidental to the construction, or the completion of the construction, of that building; (b) in all cases—the recipients expenditure is in respect of any of the following matters: (i) stamp duty; (ii) advertising; (iii) legal services; (iv) agent’s services; (v) discharge of a mortgage; (vi) expenses of borrowing; (vii) any similar matter; being a matter of a capital nature that is incidental to the acquisition or sale of the interest or right; and (c) in all cases—the recipients expenditure is not in respect of: (i) interest; (ii) repayments of principal; (iii) loan service fees; (iv) the discharge of a mortgage, or expenses of borrowing, where the money borrowed was not applied wholly in respect of the land, stratum unit or proprietary right or in respect of a building on the land; (v) insurance; or (vi) rates. (2) For the purposes of this Act, a recipients benefit shall be taken to be incidental to the acquisition or sale of a prescribed interest in land or a stratum unit or of a proprietary right in respect of a dwelling if, and only if: (a) the recipients benefit consists of any of the following matters: (i) advertising; (ii) legal services; (iii) agent’s services; (iv) services related to borrowing; (v) any similar matter; being a matter of a capital nature that is incidental to the acquisition or sale of the interest or right; and (b) the recipients benefit does not consist of or relate to: (i) insurance; or (ii) services related to borrowing where the money borrowed was not applied wholly in respect of the land, stratum unit or proprietary right or in respect of a building on the land.

Amendment history: Inserted by No 139 of 1987, effective 18 Dec 1987

s 142 — Remote area housing

(1) In this Act, a reference, in relation to a year of tax in relation to an employee of an employer, to a remote area housing loan connected with a dwelling is a reference to a housing loan relating to the dwelling where: (a) during the whole of the period (in this subsection referred to as the occupation period ) in the year of tax when the employee occupied or used the dwelling as his or her usual place of residence: (i) the dwelling was situated in a State or internal Territory and was not at a location in, or adjacent to, an eligible urban area; and (ii) the employee was a current employee of the employer and the usual place of employment of the employee was not at a location in, or adjacent to, an eligible urban area; (b) the common conditions set out in subsection (2E) are satisfied in relation to the occupation period; and (d) the loan was not made to the employee pursuant to: (i) a non ‑ arm’s length arrangement; or (ii) an arrangement that was entered into by any of the parties to the arrangement for the purpose, or for purposes that included the purpose, of enabling the employer to obtain the benefit of the application of section 60. (1A) In this Act, a reference, in relation to a year of tax in relation to an employee of an employer, to remote area housing rent connected with a unit of accommodation is a reference to rent or other consideration payable in respect of the subsistence of a lease or licence in respect of the unit of accommodation where: (a) during the whole of the period (in this subsection referred to as the occupation period ) in the year of tax when the employee occupied or used the unit of accommodation as his or her usual place of residence: (i) the unit of accommodation was situated in a State or internal Territory and was not at a location in, or adjacent to, an eligible urban area; and (ii) the employee was a current employee of the employer and the usual place of employment of the employee was not at a location in, or adjacent to, an eligible urban area; (b) the common conditions set out in subsection (2E) are satisfied in relation to the occupation period; and (d) the lease or licence was not granted under: (i) a non ‑ arm’s length arrangement; or (ii) an arrangement that was entered into by any of the parties to the arrangement for the purpose, or for purposes that included the purpose, of enabling the employer to obtain the benefit of the application of section 60. (2) In this Act, a reference, in relation to a property fringe benefit in relation to a year of tax in relation to an employee of an employer, to remote area residential property is a reference to property that consists of an estate or interest in land: (aa) on which is situated a dwelling occupied or used by the employee immediately after the provision time as his or her usual place of residence; or (ab) on which the employee proposes, as at the provision time, to construct, or complete the construction of, a dwelling to be occupied or used by the employee as his or her usual place of residence; where: (ac) if paragraph (ab) applies—the Commissioner is satisfied that the employee has pursued sustained reasonable efforts to: (i) commence the construction, or commence the completion of the construction, of the dwelling within 6 months after the provision time; and (ii) occupy or use the dwelling as his or her usual place of residence within 18 months after the provision time; (a) at the provision time: (i) the land was situated in a State or internal Territory and was not at a location in, or adjacent to, an eligible urban area; and (ii) the employee was a current employee of the employer and the usual place of employment of the employee was not at a location in, or adjacent to, an eligible urban area; (b) the common conditions set out in subsection (2E) are satisfied in relation to the provision time; and (d) the property was not provided to the employee pursuant to: (i) a non ‑ arm’s length arrangement; or (ii) an arrangement that was entered into by any of the parties to the arrangement for the purpose, or for purposes that included the purpose, of enabling the employer to obtain the benefit of the application of section 60 or Division 14A of Part III. (2A) In this Act, a reference, in relation to a property fringe benefit in relation to a year of tax in relation to an employee of an employer, to a remote area residential property option fee is a reference to property that consists of a fee paid to the employee by way of consideration in respect of the grant of an option to purchase an estate or interest in land: (a) held by the employee; and (b) on which: (i) there is a dwelling occupied or used by the employee immediately after the provision time as his or her usual place of residence; or (ii) the employee proposes, as at the provision time, to construct, or complete the construction of, a dwelling to be occupied or used by the employee as his or her usual place of residence; where: (c) if subparagraph (b)(ii) applies—the Commissioner is satisfied that the employee has pursued sustained reasonable efforts to: (i) commence the construction, or commence the completion of the construction, of the dwelling within 6 months after the provision time; and (ii) occupy or use the dwelling as his or her usual place of residence within 18 months after the provision time; (d) at the provision time: (i) the land was situated in a State or internal Territory and was not at a location in, or adjacent to, an eligible urban area; and (ii) the employee was a current employee of the employer and the usual place of employment of the employee was not at a location in, or adjacent to, an eligible urban area; (e) the option was granted at or before the time the employee acquired the estate or interest and constituted a recognised remote area housing obligation restricting the disposal of the estate or interest concerned; (f) the common conditions set out in subsection (2E) are satisfied in relation to the provision time; and (g) the property was not provided to the employee under: (i) a non ‑ arm’s length arrangement; or (ii) an arrangement that was entered into by any of the parties to the arrangement for the purpose, or for purposes that included the purpose, of enabling the employer to obtain the benefit of the application of section 60 or Division 14A of Part III. (2B) In this Act, a reference, in relation to a property fringe benefit in relation to a year of tax in relation to an employee of an employer, to remote area residential property repurchase consideration is a reference to property that consists of an amount paid to the employee by way of consideration for the purchase of an estate or interest in land: (a) held by the employee; and (b) on which: (i) there is a dwelling occupied or used by the employee immediately before the provision time as his or her usual place of residence; or (ii) the employee proposed, as at the time the employee acquired the estate or interest, to construct, or complete the construction of, a dwelling to be occupied or used by the employee as his or her usual place of residence; where: (c) if subparagraph (b)(ii) applies—the Commissioner is satisfied that the employee has pursued sustained reasonable efforts to: (i) commence the construction, or commence the completion of the construction, of the dwelling within 6 months after the time the employee acquired the estate or interest; and (ii) occupy or use the dwelling as his or her usual place of residence within 18 months after the time the employee acquired the estate or interest; (d) at the provision time: (i) the land was situated in a State or internal Territory and was not at a location in, or adjacent to, an eligible urban area; and (ii) the employee was a current employee of the employer and the usual place of employment of the employee was not at a location in, or adjacent to, an eligible urban area; (e) at or before the time the employee acquired the estate or interest, the employee entered into a recognised remote area housing obligation restricting the disposal of the estate or interest concerned; (f) the purchase by the provider of the fringe benefit of the estate or interest is in accordance with that obligation; (g) the common conditions set out in subsection (2E) are satisfied in relation to the provision time; and (h) the property was not provided to the employee under: (i) a non ‑ arm’s length arrangement; or (ii) an arrangement that was entered into by any of the parties to the arrangement for the purpose, or for purposes that included the purpose, of enabling the employer to obtain the benefit of the application of section 60 or Division 14B of Part III. (2C) In this Act, a reference, in relation to an expense payment fringe benefit in relation to a year of tax in relation to an employee of an employer, to recipients expenditure in respect of remote area residential property is a reference to recipients expenditure that is incurred wholly: (a) to enable the employee to acquire an estate or interest in land on which a dwelling was subsequently to be constructed or to acquire an estate or interest in land and construct, or complete the construction of, a dwelling on the land; (b) to enable the employee to construct, or complete the construction of, a dwelling on land in which the employee holds an estate or interest; (c) to enable the employee to acquire an estate or interest in land on which there is a dwelling; or (d) to enable the employee to extend a dwelling, being a dwelling constructed on land in which the employee holds an estate or interest, by adding a room or part of a room to the dwelling, as the case may be; where: (e) if paragraph (a) or (b) applies: (i) at the time the recipients expenditure was incurred, the employee proposed to occupy or use the dwelling as his or her usual place of residence; and (ii) the Commissioner is satisfied that the employee has pursued sustained reasonable efforts to: (A) commence the construction, or commence the completion of the construction, of the building constituting or containing the dwelling within 6 months after the time the recipients expenditure was incurred; and (B) occupy or use the dwelling concerned as his or her usual place of residence within 18 months after the time the recipients expenditure was incurred; (f) if paragraph (c) or (d) applies—as soon as reasonably practicable after the time the recipients expenditure was incurred, the dwelling concerned was occupied or used by the employee as his or her usual place of residence; (g) at the time the recipients expenditure was incurred: (i) the land was situated in a State or internal Territory and was not at a location in, or adjacent to, an eligible urban area; and (ii) the employee was a current employee of the employer and the usual place of employment of the employee was not at a location in, or adjacent to, an eligible urban area; (h) the common conditions set out in subsection (2E) are satisfied in relation to the time the recipients expenditure was incurred; and (j) the fringe benefit was not provided to the employee under: (i) a non ‑ arm’s length arrangement; or (ii) an arrangement that was entered into by any of the parties to the arrangement for the purpose, or for purposes that included the purpose, of enabling the employer to obtain the benefit of the application of section 60 or Division 14A of Part III. (2D) In this Act, a reference, in relation to a property fringe benefit or an expense payment fringe benefit in relation to a year of tax in relation to an employee of an employer, to a recognised remote area housing obligation restricting the disposal of an estate or interest in land is a reference to a contractual obligation entered into by the employee with the employer or an associate of the employer not to dispose of the estate or interest concerned except: (a) to the employer or an associate of the employer; and (b) for a price specified in, or ascertained in accordance with, the contract concerned; at any time during a period specified in the contract concerned, being a period that ends not earlier than 5 years after: (c) in the case of a property fringe benefit where the recipients property is remote area residential property repurchase consideration—the time the employee acquired the estate or interest concerned; (d) in the case of any other property fringe benefit—the provision time; or (e) in the case of an expense payment fringe benefit—the time the recipients expenditure was incurred. (2E) For the purposes of the application of this section to a fringe benefit in relation to a year of tax in relation to an employee of an employer, the common conditions in relation to a particular period or in relation to a particular time are as follows: (a) it is customary for employers in the industry in which the employee was employed during that period or at that time, as the case may be, to provide housing assistance for their employees; (b) it would be concluded that it was necessary for the employer, during the year of tax, to provide or arrange for the provision of housing assistance for employees of the employer because: (i) the nature of the employer’s business was such that employees of the employer were liable to be frequently required to change their places of residence; (ii) there was not, at or near the place or places at which the employees of the employer were employed, sufficient suitable residential accommodation for those employees (other than residential accommodation provided by or on behalf of the employer); or (iii) it is customary for employers in the industry in which the employee was employed during that period or at that time, as the case may be, to provide housing assistance for their employees. (3) A reference in this section to housing assistance is a reference to: (a) the provision of residential accommodation without charge or for a rent or other consideration that is less than the market value of the right to occupy or use the accommodation concerned; (aa) the making of payments in discharge or reimbursement of rent or other consideration incurred by a person in respect of the subsistence of a lease or licence in respect of a unit of accommodation; (b) the making of a housing loan relating to a dwelling, being a loan in respect of which the rate of interest payable is less than the market rate of interest in respect of the loan concerned; (c) the making of payments in discharge or reimbursement of expenditure incurred by a person in respect of interest incurred in respect of a housing loan relating to a dwelling; (d) the provision of residential property without charge or for consideration that is less than the market value of the property at the provision time; (e) the making of payments in discharge or reimbursement of expenditure incurred by a person in acquiring or constructing residential property; or (f) the provision of a residential property ownership scheme involving: (i) the granting by employees of options to purchase employees’ residential property; or (ii) the purchase of employees’ residential property. (4) Nothing in section 74 prevents the amendment of an assessment at any time for the purpose of giving effect to paragraph (2)(ac), (2A)(c), (2B)(c) or (2C)(e).

Amendment history: Amended by No 139 of 1987, effective 18 Dec 1987 | Amended by No 95 of 1988, effective ss. 44(a) and 54(11): (e) Remainder: Royal Assent | Amended by No 107 of 1989, effective Part 6 (ss. 29, 30): (g) Remainder: Royal Assent

s 142A — Benefits relating to transport

(1) For the purposes of this Act, recipients expenditure that is in respect of, or a recipients benefit that consists of: (a) accident insurance, airport or departure tax, passenger movement charge, a passport, a visa or a vaccination; or (b) any similar matter or thing; in connection with transport shall be taken to be in respect of the provision of, or to consist of, transport. (2) For the purposes of this Act, where: (a) transport is between a particular place and another place; (b) the transport is provided in consecutive stages; and (c) apart from this subsection, a particular matter or thing would be in respect of only one, or only some, of those stages; the matter or thing shall be taken to be in respect of the provision of that transport.

Amendment history: Inserted by No 139 of 1987, effective 18 Dec 1987 | Amended by No 159 of 1994, effective 16 Dec 1994

s 142B — Employee’s new place of employment

Where a provision of this Act refers to an employee who is required to change his or her usual place of residence in order to perform the duties of his or her employment, a reference in the provision to the employee’s new place of employment shall not be taken as implying that the employee was employed when he or she resided at his or her former usual place of residence.

s 142C — Eligible shared accommodation in a house, flat or home unit

For the purposes of this Act, where: (a) the recipients unit of accommodation (in this section called the shared unit of accommodation ) in relation to a housing fringe benefit in relation to an employee in relation to a year of tax consists of accommodation in a house, flat or home unit; and (b) throughout the tenancy period, there ordinarily subsisted 3 or more other housing fringe benefits, where each of those other housing fringe benefits was a housing fringe benefit: (i) where the recipients unit of accommodation consisted of accommodation in the house, flat or home unit; and (ii) in relation to a different employee; the shared unit of accommodation shall be taken to be eligible shared accommodation in the house, flat or home unit in relation to the year of tax.

s 142D — Eligible accommodation in an employees hostel

For the purposes of this Act, where: (a) the recipients unit of accommodation in relation to a housing fringe benefit in relation to an employee in relation to an employer in relation to a year of tax consists of accommodation in a hostel or a similar building that is operated wholly or principally for the purpose of providing accommodation for employees of: (i) the employer; or (ii) if the employer is a company—the employer or a company that is related to the employer; and (b) the recipient is not entitled to exclusive use of: (i) cooking facilities in the hostel or building; or (ii) more than one bedroom in the hostel or building; the recipients unit of accommodation shall be taken to be eligible accommodation in an employees hostel in relation to the year of tax.