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  • Member For: 21y 8m 15d
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  • Location: Geelong, VIC, Australia
  Mick Molloy said:
NOVATED LEASE'S are not FBT exempt.. according to ATO phone call and Fleet Australia. Only company leases.. :laughing:

:laughing: ATO :laughing:  :laughing:

<{POST_SNAPBACK}>

Yep that's what my smartsalary said too! Pack-o-bastards

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  Mick Molloy said:
MORE INFO HERE

Crewmans are OK.... If you like that sort of thing...

UPDATE:

NOVATED LEASE'S are not FBT exempt.. according to ATO phone call and Fleet Australia. Only company leases.. :laughing:

:laughing: ATO :laughing:  :laughing:

<{POST_SNAPBACK}>

Read from here down, letter from the deputy commissioner of taxation to forrestd stating that FBT IS exempt under a Noveated Lease....

merry-go-round.gif
  • Sucker
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  • Member For: 21y 1m 16d
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  • Location: Brisbane
  Mick Molloy said:
FBT consequence of full novations

A car fringe benefit arises where you are the lessee of a car that is provided for the private use of an employee or associate of the employee. Cars under a full novated lease are subject to the same car fringe benefit valuation rules as other cars you lease.

I am sure for a business lease this clears it up... but for a novated lease I am still not sure....

What do you guys think??

<{POST_SNAPBACK}>

Did you actually read what you quoted Mick? Subject to the same valuation rules?

  • Member
  • Member For: 19y 5m 6d
  • Location: Brisbane QLD
  tab said:
  Mick Molloy said:
FBT consequence of full novations

A car fringe benefit arises where you are the lessee of a car that is provided for the private use of an employee or associate of the employee. Cars under a full novated lease are subject to the same car fringe benefit valuation rules as other cars you lease.

I am sure for a business lease this clears it up... but for a novated lease I am still not sure....

What do you guys think??

<{POST_SNAPBACK}>

Did you actually read what you quoted Mick? Subject to the same valuation rules?

<{POST_SNAPBACK}>

I read that but Fleet Australia say no you must pay FBT... :veryangry: I now have no idea...

Mick<<<<< Calling ATO Again

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  • Member For: 21y 1m 16d
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When dealing with the ATO you have to tell them what the answer is and then they'll confirm it - it's no use asking an open question with the morons :veryangry:

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  • Member For: 20y 7m 24d
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  • Location: brisbane

just a quick question im on a chattel mortgage, I own my own business, and do alot of K's a year, just wondering what would be best for me as im looking at getting a new work car at the end of the year.

Would I be better of on the chattel or moving on to something else

  • Member
  • Member For: 19y 5m 6d
  • Location: Brisbane QLD
  wados said:
just a quick question im on a chattel mortgage, I own my own business, and do alot of K's a year, just wondering what would be best for me as im looking at getting a new work car at the end of the year.

Would I be better of on the chattel or moving on to something else

<{POST_SNAPBACK}>

The Thick Plottens :veryangry:

From all my reading and discussions with the ATO and Fleet Australia the answer is YES you can claim FBT excemption but if you fall outside the stick limits on the useage you can get into big problems and $$ as the following rules will then apply...

http://www.ato.gov.au/businesses/content.a...4.htm&page=6&H6

47 cents per k over the stated to and from work... ouch

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  • Member For: 21y 1m 16d
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but....that applies to "motor vehicles other than cars". Unless your utility carries more than 1 tonne it is still classed as a "car"

Isn't this fun?

  • Member
  • Member For: 22y 4m 5d
  • Location: Newcastle
  tab said:
but....that applies to "motor vehicles other than cars".  Unless your utility carries more than 1 tonne it is still classed as a "car"

Isn't this fun?

<{POST_SNAPBACK}>

tab dead on the money.

Utes less than a tonne are treated as cars unless you decide to treat them as FBT exempt.

This means you need to follow the exemption rules: ie to & from work travel is exempt but private use must be minor, infrequent and irregular travel. The ATO also don't clearly define the meaning of minor, infrequent and irregular travel, it appears to purposing be left vague, so it can be considered on a case by case basis by the ATO.

If you fail, the exemption (or don't apply it) therefore it will be treated as a normal car fringe benefit not a residual benefit (see Mick Molloy's link).

Cheers,

FG

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