FBT and Utes / Vans – Is Your Definition of Minor, Infrequent and Irregular the Same as the ATOs?

The ATO has released additional information regarding what is considered ‘minor, infrequent and irregular’ for the purposes of the FBT exemption.

The ATO considers where private use is limited to the following it will meet the definition of ‘minor, infrequent and irregular’:

  • No more than 2 kms diversion on private home to work travel (e.g. picking up or dropping off children at school on the way to or from work),
  • No more than 1000 kms travelled wholly for private purposes within the FBT year,
  • No single private purpose trip exceeding 200 kms return,

If you fail to meet the above criteria, you will be subject to fringe benefits tax in relation to any private use of the vehicle and need to contact one of our accountants to discuss this further.

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