- High costs of complying with FBT legislation has been a complaint by business
- Draft legislation allowing good corporate records to replace employee declarations is welcomed
- These measures should be passed as a matter of urgency
CA ANZ has long advocated for the compliance costs for FBT to be reduced. CA ANZ welcomes the proposal to allow employers to rely on existing corporate records to substantiate a FBT liability rather than creating additional documents. These changes do not reduce the amount of information required to be collected but rather it reduces the number of forms in which the information is captured.
There are over 20 different employee declarations which could be replaced by good corporate records. The two draft legislative instruments deal with employee declarations that relate to travel diaries and relocation transport. CA ANZ looks forward to the release of more legislative instruments along similar lines, particularly for otherwise deductible expenses, so that the FBT compliance burden can be further reduced.
CA ANZ urges the government to introduce and pass these measures as a matter of urgency so that they can apply from the new FBT year on 1 April 2023.
“the high cost of complying with FBT has been an issue for years. Allowing employee declarations to be replaced by good corporate records is a step in the right direction and CA ANZ looks forward to more changes to further reduce the FBT burden”
Treasury consultation paper
Draft legislation and commentary.Find out more