Newshound
25-10-2012, 12:43 PM
The Federal Treasurer Wayne Swan has sacrificed ‘in-house benefits’ used in salary packaging for the sake of his budget surplus.
"The Government will remove the concessional fringe benefits tax (FBT) treatment for in‑house fringe benefits if they are accessed by way of a salary sacrifice arrangement. This measure will apply from 22 October 2012 for salary sacrifice arrangements entered into from its announcement on 22 October 2012, and from 1 April 2014 for salary sacrifice arrangements entered into prior to its announcement on 22 October 2012. This measure is estimated to have a gain to revenue of $445.0 million, and an increase in GST payments to the States and Territories of $85.0 million, over the forward estimates period."
"The Government will remove the concessional fringe benefits tax (FBT) treatment for in‑house fringe benefits if they are accessed by way of a salary sacrifice arrangement. This measure will apply from 22 October 2012 for salary sacrifice arrangements entered into from its announcement on 22 October 2012, and from 1 April 2014 for salary sacrifice arrangements entered into prior to its announcement on 22 October 2012. This measure is estimated to have a gain to revenue of $445.0 million, and an increase in GST payments to the States and Territories of $85.0 million, over the forward estimates period."