Firm Profile
Contact Us

 Fringe Benefit Tax

Fringe benefit tax (FBT) is a tax on benefits that employees receive as a result of their employment, including those benefits provided through someone other than an employer.

The four main groups of fringe benefits are:

  • motor vehicles (refer to the IRD website form more information on how to calculate)
  • low-interest loans other than low-interest loans provided by life insurance companies
  • free, subsidised or discounted goods and services, including subsidised transport for employers in the public transport business
  • employer contributions to sick, accident or death benefit funds, superannuation schemes and specified insurance policies.

Gifts, prizes and other goods are fringe benefits. If you pay for your employees' entertainment or private telecommunications use, these benefits may also be liable for fringe benefit tax.

Refer to the IRD website (or contact us) for more information on how fringe benefit tax is applied and calculated on:

Back to Tax Facts Index

Create, manage and build your e-business.

Copyright Wood Walton Chartered Accountants 2004

Home | Firm Profile | Our Services | Tax Facts | Key Dates | Internet Links | Newsletters | Contact Us
   Go »