Free, subsidised or discounted goods and services

If goods are provided for an employee at less than the cost to the employer, then this is a fringe benefit. Also if services are provided to an employee at less than the normal cost to the public, this is also a fringe benefit.

Exempt goods or services

Learn the general exemptions from FBT for goods and services, based on the type of FBT return filed as well as the procedure for claiming it, based on which type of FBT return you file.

Free, subsidised or discounted goods

Definition of the free, subsidised or discounted goods subject to fringe benefit tax and their taxable value. We also identify goods that are not subject to fringe benefit tax (including clothing exemptions).

Goods and services provided to shareholder-employees

If your company provides free, subsidised or discounted goods and services to shareholder-employees, you may choose whether to pay fringe benefit tax on these benefits, or treat them as dividends.

Subsidised transport

The liability of subsidised transport for fringe benefit tax applies only to employers who are in the business of supplying transport to the public (for example, passenger services by air, road, rail or sea).

Free, subsidised or discounted services

Fringe benefit tax is charged on services that an employer (or someone on the employer's behalf) provides to an employee at less than the normal cost to the public. Learn which services are liable for FBT, their taxable value, and those services that are not liable.

Record keeping for goods, services and subsidised transport

On your FBT taxable value calculation sheet, you must list out the different types of fringe benefits, so you should keep separate records. Identify the records required for paying FBT on free, subsidised or discounted goods and services and subsidised transport.

Attributed and non-attributed benefits for goods, services and subsidised transport

Learn about attributed and non-attributed benefits in relation to free, subsidised or discounted goods and services, then (relevant to employers in the public transport business only) in relation to subsidised transport. See also a more detailed explanation of attributed and non-attributed benefits.

Date published: 14 Oct 2004

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