Author: Wendy Waack, Partner, TAG Financial Services
The coronavirus grinch has meant that the festive workplace Christmas party has become a logistics issue for businesses.
So, what can you do differently to celebrate, and possibly reward your team for their additional efforts during this challenging year?
A gift voucher or hamper may be an appropriate reward. Under the actual method for FBT, if the gift is worth less than $300 (inclusive of GST) it will not be subject to FBT and deductible for the business.
Vouchers and gifts are not exempt as a minor benefit and are subject to FBT if they:
- have a value of $300 or more; or
- are provided to staff on a frequent or regular basis.
This is a great opportunity to arrange your rewards now and give team members an early reward. It may even assist them with their personal cash flow planning for their family Christmas.
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Disclaimer: The information contained is general in nature. Professional advice should be sought before acting on any aspect on this page. Financial planning services provided by TAG Financial Advisors Pty Ltd (ABN 77 154 205 017 AFSL 415632), a wholly owned subsidiary of TAG Financial Services Pty Ltd (ABN 67 075 374 686).