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Fringe Benefits Tax Compliance Cost Review

Background

In February 2018, the Australian Government wrote to the Board of Taxation requesting that the Board conduct a comprehensive review of the compliance costs associated with obligations under Fringe Benefits Tax (FBT) legislation. The Board will also examine the approach in comparable countries to the taxation of fringe benefits provided by employers to their employees. As part of the review, the Board is conducting a number of research initiatives to estimate and identify reasons for compliance costs.

The Board is intending to provide its advice and recommendations on compliance cost improvements to the Government in early 2019.

Working Group

The Board has appointed Board member, Mrs Rosheen Garnon, to lead the work on this review. Mrs Garnon is assisted by a number of other Board members including Ms Karen Payne (CEO) and Mr Neville Mitchell. In addition, the Board has formed a working group made up of representatives from the Australian Taxation Office, Treasury, academia and the G100.

Research Initiatives

The Board is currently undertaking a number of research initiatives. Further details are outlined in the table below.

The Board encourages all relevant stakeholders to participate in our research initiatives where possible. Your participation will help the Board formulate its recommendations by identifying areas where we can reduce the cost associated with complying with their FBT obligations.

 

Online Surveys: the Board is gathering evidence through several online surveys as follows. All survey responses will remain anonymous and only aggregate results will be published.

  1. Taxpayers selected to participate in an FBT Compliance Cost Survey (‘random survey’):

    If you were selected, the ATO would have sent an invitation to you on behalf of the Board.

    Dates: The survey will be open until midnight on Tuesday, 6 November 2018
    Location: Please use the unique link in the email to complete your survey.

    More information about the online surveys is provided on the “Frequently Asked Questions” page.

  1. Taxpayers and advisers who volunteer to participate in a Survey:

    For taxpayers (not selected to participate in the random survey) and advisers who would like to volunteer to participate in the Board’s Public Survey on FBT compliance costs.

    Dates: The survey will be open until midnight on Tuesday, 6 November 2018
    Location: If you would like to volunteer, please click on the button below.

    More information about the online surveys is provided on the “Frequently Asked Questions” page.

Case Study Interviews with employers will be conducted to gain an in-depth understanding of the compliance costs they experience; what drives these costs and what could be done to reduce these costs.

  • Dates: October and November 2018 (approximately 1 hour)
  • Location: various locations by phone, video conferencing or in person.

Focus Groups for the design of the survey are now completed. Thank you to those who participated. These groups provided feedback on the design of the online surveys and questions proposed to ensure they are appropriate and on point.

Further Information

For further information about the Board’s work on FBT compliance costs, please contact the Board of Taxation Secretariat at research@taxboard.gov.au or 02 6263 4366.

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