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    sachinkundaliya's Avatar
    sachinkundaliya Posts: 8, Reputation: 0
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    #1

    Mar 12, 2008, 07:08 AM
    Fringe benefit tax
    I want to know that car insurance come under the net of Fringe Benefit Tax?
    ScottGem's Avatar
    ScottGem Posts: 64,966, Reputation: 6056
    Computer Expert and Renaissance Man
    		  
    #2

    Mar 12, 2008, 07:19 AM
    Can you explain this further. There is no Fringe bebenfit tax that I know of. Some companies may offer car insurance through payroll deductions as a perk. But generally this is not a benefit and its paid with post tax dollars.
    JudyKayTee's Avatar
    JudyKayTee Posts: 46,503, Reputation: 4600
    Uber Member
    		  
    #3

    Mar 12, 2008, 08:32 AM
    Quote Originally Posted by sachinkundaliya
    I want to know that car insurance come under the net of Fringe Benefit Tax?

    I think you answered your own question on the tax thread: "It means tax on those facilities or allowances which neither taxable for employee nor the employer under some rule. In order to overcome this , it is introduced.

    It is applicable to only company and firm. It apply to certains expenses done by the employer such as car,telephone or mobile, air tickets to employee, repair & maintainence etc and apply in different rates for different kinds of expenses which ranging from 20% to 100% depending upon the nature of expenses.

    After applying rates as above we get the value of FBT and on which 33.66% tax is calculated which is same for both company and firm."

    (I never heard of this so I have no idea where to even look for it.)
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