Document ID: chunk:federal_register_of_legislation:F2024C01292:clause:2_9:p2
Version: federal_register_of_legislation:F2024C01292
Segment Type: clause
Provision Reference: sch 2 cl 9 (pt 2/2)
Character Range: 189749–191975

way of reimbursement of those expenses; and
 (ii) in a case where car expenses in respect of fuel or oil for the car were incurred during the holding period by recipients of the car fringe benefits and the persons incurring those expenses give to the employer, before the declaration date, declarations, in a form approved by the Inspector‑General under section 6D of the Bankruptcy Act 1966, in respect of those expenses—the amount of those expenses paid by the recipients less any amount paid or payable to the recipients by way of reimbursement of those expenses; and
 (iii) in a case where:
 (A) car expenses in respect of the car (other than car expenses in respect of fuel or oil for the car) were incurred during the holding period by recipients of the car fringe benefits; and
 (B) documentary evidence of those expenses is obtained by the persons incurring the expenses and given to the employer before the declaration date;
  the amount of those expenses paid by the recipients less any amount paid or payable to the recipients by way of reimbursement of those expenses; and
 (d) the holding period is the period in the contribution assessment period when the car was held by the provider.
 Example:
 Christopher was declared bankrupt on 1 July 2020.
 In June 2021 Christopher's employer acquires a car for Christopher's use. The purchase price, and base value, of the car is $20,000.
 As part of his employment arrangement, the car is made available to Christopher for the entire period 1 July 2021 to 30 June 2022 during which time he travels 10,000 kilometres. During the period Christopher makes a $300 contribution to expenses in the form of unreimbursed expenditure on petrol.
 It is necessary to assess the value of a car fringe benefit provided to Christopher by his employer for the contribution assessment period 1 July 2021 to 30 June 2022.
 Applying the formula in subsection (1), the value of the car fringe benefit is calculated as follows:

 (3) In this section:
declaration date means the date occurring 21 days after the end of a contribution assessment period in relation to a bankrupt.
taxable value of a fringe benefit means the value, for the purposes of the Bankruptcy Act 1966, of the benefit.