|
|
|
LAWCOMM 403 long notes.docx
LAWCOMM_403_long_notes.docx
Showing 128 out of 157
LAWCOMM 403 long notes.docx-CONTENTS Tips ...........
LAWCOMM_403_long_notes.docx-CONTENTS Tips ......................................................................................................................................................................................... 4 Introducon ............................................................................................................................................................................
LAWCOMM 403 long notes.docx-CONTENT...
LAWCOMM_403_long_notes.docx-CONTENTS Tips ......................................................................................................................................................................................... 4 Introducon ............................................................................................................................................................................
Page 128
RA 5
Tax obligaons for employment-related taxes
Withholding and payment obligaons
(1)
A person who makes a payment or provides a benefit of 1 of the following kinds must either withhold and pay, or pay,
the amount of tax for the payment or benefit to the Commissioner under subpart RD (Employment-related taxes) by the
due dates:
(a)
a PAYE income payment:
…
Timing for PAYE income payments
(2)
An amount of tax withheld from a PAYE income payment must be withheld at the me the person makes the payment.
A person making a PAYE income payment (usually an employer) must withhold PAYE
The obligaon to deduct PAYE is at the me the employer makes the payment to the employee
FRINGE BENEFITS
The policy of fringe benefit tax is to make the tax system fairer (equity) and prevent tax avoidance
o
Fringe benefits are generally not taxable as income – instead they are chargeable to FBT (mostly under subpart
RD)
o
Fringe benefits tax are paid by employers on non-cash benefits supplied by an employer to an employee
DEFINITION OF FRINGE BENEFIT
Definion of fringe benefit (
secons CX 2 and CX 4
)
o
A fringe benefit is any benefit that
“is provided by an employer to an employee in connecon with their
employment”, unless “excluded” (
secon CX 2
)
o
“To the extent to which a benefit that an employer provides to an employee in connecon with their
employment is assessable income, the benefit is not a fringe benefit.” (
secon CX 4
)
o
There are two kinds of fringe benefits – classified and unclassified (
secon CX 2
)
Exclusion of fringe benefits (
secon CX 3
)
o
“A fringe benefit is excluded income of the employee.”
Fringe benefits and exempt income (
secon CX 5
)
o
Exempt income does not count as a fringe benefit
Classified benefits (
secons CX 6 to CX 18
)
o
Classified benefits are benefits in respect of which there are parcular rules – they are classes of benefits
which are common, economically significant and troublesome from a tax point of view
o
Classified benefits include:
company cars: secon CX 6;
cheap loans: secon CX 10;
employers’ contribuons to superannuaon schemes: secon CX 13;
employers’ contribuons to sickness, accident and death benefit funds: secon CX 14;
employers’ contribuons to life and health insurance: secon CX 16.
Exclusions and limitaons (
secons CX 19 to CX 33
)
o
Exclusions and limitaons from FBT include:
accommodaon and travel provided to an employee to enable her to perform her employment
dues: secon CX 20;
For example, if your company send you overseas for a conference, and provides for you to
stay at a hotel
benefits provided on the employer’s premises (other than travel, accommodaon, and clothing):
secon CX 23;
For example, car parking
This is quite tax effecve as the employer gets a deducon for renng the parking space, and
doesn’t have to pay FBT
assistance with preparaon of tax return: secon CX 27;
accommodaon provided in connecon with employment: secon CX 28
For example, your employer requires you to stay somewhere for work purposes
Ace your assessments! Get Better Grades
Browse thousands of Study Materials & Solutions from your Favorite Schools
Vanderbilt University
Vanderbilt_University
School:
Tax_Law
Course:
Great resource for chem class. Had all the past labs and assignments
Leland P.
Santa Clara University
Introducing Study Plan
Using AI Tools to Help you understand and remember your course concepts better and faster than any other resource.
Find the best videos to learn every concept in that course from Youtube and Tiktok without searching.
Save All Relavent Videos & Materials and access anytime and anywhere
Prepare Smart and Guarantee better grades
Know more
Students also viewed documents
lab 18.docx
lab_18.docx
Course
Course
3
Module5QuizSTA2023.d...
Module5QuizSTA2023.docx.docx
Course
Course
10
Week 7 Test Math302....
Week_7_Test_Math302.docx.docx
Course
Course
30
Chapter 1 Assigment ...
Chapter_1_Assigment_Questions.docx.docx
Course
Course
5
Week 4 tests.docx.do...
Week_4_tests.docx.docx
Course
Course
23
Week 6 tests.docx.do...
Week_6_tests.docx.docx
Course
Course
106
