Australia: Proposed changes remove FBT statutory formula method for cars

Global Watch ()

On July 16, 2013, the Federal Government announced significant and unexpected changes to the Fringe Benefits Tax (FBT) treatment of cars. The statutory formula method of calculating the taxable value of car fringe benefits provided to employees will not be available from April 1, 2014 (except those entitled to transitional relief). This will impact both salary sacrifice arrangements and employer provided cars.