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    Categories: AccountingBusinessTaxation

Fringe Benefits Tax, Work Christmas parties & gifts – what you need to know!

Download our FBT and the Festive Season Fact Sheet! > CLICK HERE

It’s that time of year! Everybody is excited for the work Christmas Party and hoping that this year, they receive an even greater gift from the boss.

Now, we don’t mean to sound like the Grinch, but when it comes to the work Christmas party and Christmas gifts for staff, there’s more to think about than finding out who’s been naughty or nice.

One thing that some businesses forget to consider is if they will need to pay Fringe Benefits Tax (FBT). When rewarding your employees with gifts or parties this Christmas, this is something to be aware of. 

When it comes to your work Christmas party, you’ll need to think about:

  • how much it costs
  • when and where it is held. Did you know that a party held at work on a normal work day is treated differently to an event outside of work?
  • who is invited – is it just for employees or are their partners invited too? Are clients or suppliers also invited?

When it comes to gifting, you’ll need to think about:

  • the amount you spend
  • the type of gift – gifts such as wine or hampers are treated differently to gifts like tickets to a movie or a sporting event
  • Also, who you are giving the gift to – different rules apply for employees and clients/suppliers.
We have put together a fact sheet that will help clear this up for you and give you a better understanding of some of the implications surrounding work Christmas parties and gifts.

 

DOWNLOAD THE FACT SHEET

Fringe Benefits Tax and the Festive Season

 

Fill out the form below to get your download link.

The Quill Team :We are a team of Business Accounting, Financial Planning and Superannuation enthusiast. Quill is your one stop shop for all your financial needs. Think of us as your financial fitness centre. We offer accounting, financial planning, insurance and superannuation support and advice to our clients.