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Utes And Zero Fbt


XRTank

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  • Member For: 22y 24d

I today received a written response from the ATO on this FBT exemption thing.

I asked them to confirm that a regular office worker in the finance industry can claim the FBT exemption for these cars (under the private use conditions of course) under a novated lease arrangement.

Guess what?... it was a bit fat..

YES!

In writing, signed by the deputy commissioner of taxation.

I have since told the salary packaging people, who previously told me I would have to be a 'tradesman' carrying around a bunch of tools in the tray in order to claim the exemption.

They were wrong.

If I took their advice I would be out of pocket $18k over lease term. And they are supposed to be the experts..... So Joe Programmer working anywhere can take out a novated lease on certain "commercial" cars and effective pay hald the monthly lease payment.......

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  • Member For: 21y 7m 26d
  • Gender: Male
  • Location: Kellyville, Sydney

forrestd any chance I can get a copy of that letter . Just incase my accountant wants to argue again.!!!!!!!

4 more days till my beast arrives <_<

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  • Member For: 22y 24d

sure

here is the email with my question:

> -----Original Message-----

> Sent: Thursday, 19 June 2003 10:13 AM

> To: 'BTRadvice@ATO.gov.au'

> Subject: FBT exempt vehicles

>

>

> Taxation Ruling MT2024 (and addendum MT2024A) lists specifc vehicles as

FBT exempt where private use is limited to work related travel (including

travel to and from work).

>

> My questions are:

>

> Is there an updated list of such vehicles?

>

> Is there any reason why a regular employee cannot undertake a novated

lease for such a vehicle and obtain the FBT exemption, assuming they follow

the private use requirements?

>

> thanks

>

> Duncan

>

They wrote back (regular mail)

- here is the response: (3 pages)

http://members.optusnet.com.au/~duncanforr...est/fbt0001.JPG

http://members.optusnet.com.au/~duncanforr...est/fbt0003.JPG

http://members.optusnet.com.au/~duncanforr...est/fbt0004.JPG

A list of eligble and ineligible cars can be found here:

http://law.ato.gov.au/atolaw/view.htm?basi...A/NAT/ATO/00001

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  • Member For: 21y 7m 26d
  • Gender: Male
  • Location: Kellyville, Sydney

Why is the falcon ute missing from the commercial vehicle list.

both 6 cylinder and v8 Late model camira utes are there.

The ford utes can carry a much larger load than the holdens and in my opinion should be on the list.

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  • Member For: 21y 7m 26d
  • Gender: Male
  • Location: Kellyville, Sydney

oops just looking again and the list seems to be very old (1999)

seems funny now that the v8 Expensive Daewoo had only 179 kw how times have changed

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  • Member For: 22y 2m 4d
  • Gender: Male
  • Location: Dé·jà vu

Well this thread garuntee's that my next vehicle will definatly be of the ute variety.

Thanks for the update forrestd now I've just got to learn how to speak taxashinish so I can understand half of it. :thumbsup:

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