Document ID: chunk:federal_register_of_legislation:C2004A04616:section:2:p12
Version: federal_register_of_legislation:C2004A04616
Segment Type: section
Provision Reference: s 2 (pt 12/32)
Character Range: 68435–71500

have effect at the end of 6 months after the day on which it is notified in the Gazette if it has not been revoked before then.

"Division 7—Value of housing fringe benefits

Method of valuing housing fringe benefits

"1157S.(1) Subject to subsection (2), the value of a housing fringe benefit is to be worked out in accordance with section 1157T.

"(2) If a determination is in force under section 1157U, the value of a housing fringe benefit is to be worked out in accordance with the determination.

Value of housing fringe benefits

  "1157T.(1) This is how to work out the value of a housing fringe benefit:
Method statement

      Step 1. Work out the location of the unit of accommodation and go to the appropriate row of the Housing Fringe Benefits Value Table.

      Step 2. Work out the type of accommodation and go to the appropriate column in the Table: the number where the row and column intersect is the weekly market rent of the unit of accommodation.

         Note: If the person is a member of a couple, the weekly market rent is to be halved in certain circumstances (see subsection (4)).

      Step 3. Work out how many complete weeks in the appropriate tax year the unit of accommodation was or will be available to the person.

      Step 4. Multiply the weekly market rent of the unit of accommodation and the number of weeks obtained in Step 3: the result is the provisional value of the housing fringe benefit.

      Step 5. Work out the allowable rent for the unit of accommodation in the appropriate tax year using subsection (3).

           Note: If the person is a member of a couple, the allowable rent is to be halved in certain circumstances (see subsection (4)).

      Step 6. Take the allowable rent away from the provisional value of the housing benefit: the result is the value of the housing fringe benefit.

"(2) The following Table is to be used in working out the value of a housing fringe benefit:
         HOUSING FRINGE BENEFITS VALUE TABLE
                                              Type of accommodation
                                              House, flat or home unit
   Location                                     3 or more bedrooms      1-2 bedrooms  Any other unit of accommodation
Metropolitan                                      140                   120           85
Non-metropolitan                                  100                   90            70
Special housing                                   80                    80            25
Outside Australia                                 140                   120           85

    Note 1: For 'unit of accommodation', 'metropolitan location', 'non-metropolitan location' and 'special housing location' see section 10A.
Note 2: A housing fringe benefit that is received outside Australia is to be valued (see section 1157B).
Note 3: For 'Australia' see subsection 23(1).

"(3) The allowable rent is the amount of rent that the Secretary is satisfied is payable for the unit of accommodation in the appropriate tax year by:

  (a) if the