The records you must keep for fringe benefit tax (FBT) depend on the types of fringe benefits you provide.
You must keep all records for at least 7 years after the end of the relevant income year.
Employee name – all fringe benefit types
For all types of fringe benefits you provide, you must include the name of the employee receiving the benefit. If you cannot work out which employee mainly uses or receives the benefit, your records must show the benefit has been pooled (non-attributed).
Attributing benefits to individual employees
Motor vehicle records
For motor vehicle private use and work-related vehicle exemptions, you must keep adequate records to support your FBT calculations and exemptions you claim.
Your records must include:
- the name of the employee receiving the benefit
- motor vehicle (make, model, year, registration number)
- proof of the market value or cost price, tax book value and Investment Boost if claimed
- calculation for tax book value and tax value – Investment Boost
- records of employee contributions for private use
- working papers showing calculations for days that FBT is payable and days it is not
- 3-monthly checks for unauthorised private use
- private use restrictions (letter or notice to employees)
- description of qualifying work-related vehicle (work-related exemption only)
- records for 3-month test period.
Emergency call-out exemption – extra records
You also need to keep records of the:
- call-out purpose and service provided
- time, date and duration of call-out
- reason for call-out service completed at that time
- customer or client details for call-out.
Business travel exemption – extra records
You also need to keep records of the:
- purpose of business travel
- proof travel was at least 24 hours
- number of qualifying days.
Motor vehicles provided by employers for private use
Unclassified benefits and gift cards records
You must keep separate records of all unclassified benefits and gift cards you provide, even if you do not need to pay FBT because the limit applies.
Your records must include the:
- name of the employee receiving the benefit
- date of transaction (when you provided the benefit)
- description of the benefit provided
- recipient’s contribution (any payment your employee made towards the benefit’s cost)
- market price or purchase cost of goods and services.
You must also keep these records for unclassified benefits where an exemption or an exclusion applies.
Unclassified benefits and gift cards
Subsidised transport records
You must keep records of the:
- name of employee receiving the benefit
- date of transaction
- description of the benefit provided (transport type, route/service)
- tickets or invoices
- employee contribution
- cost to you
- normal market price for services
- highest price charged to the general public for subsidised transport.
Low-interest loan records
You must keep records of the:
- name of employee receiving the benefit
- date the loan started
- description of the loan
- amount of interest charged
- amount of interest at the prescribed or market rate.
Low-interest loans provided by employers
Employer contributions records
For sickness, accident or death benefit funds, funeral trusts, insurance funds of a friendly society, specified insurance premiums for life, accident or medical insurance policies and superannuation schemes, you must keep records of the:
- name of the employee receiving the benefit
- type of benefit provided (fund, trust, policy or superannuation scheme)
- date of your contribution transaction
- amount you contributed for each employee
- for sickness, accident or death benefit fund, approval letter from Inland Revenue
- for funeral trusts, the name of the trust and date policy taken out
- for life and health insurance policies, the policy type, provider name, policy number and date taken out
- for superannuation contributions, the approval letter from the Financial Markets Authority, scheme name and date of approval.
Employer contributions to funds, insurance and superannuation schemes