Commonwealth Numbered Acts

FRINGE BENEFITS TAX (MISCELLANEOUS PROVISIONS) ACT 1986 No. 41 of 1986 - SCHEDULE

SCHEDULE
Section 3
AMENDMENTS OF ACTS
Administrative Decisions (Judicial Review) Act 1977 Paragraph (e) of Schedule
1-
Insert " Fringe Benefits Tax Assessment Act 1986" before "Gift Duty Assessment
Act 1941".
Crimes (Taxation Offences) Act 1980 Sub-section 3 (1) (before the definition
of "income tax")-
Insert the following definitions:

" 'fringe benefits tax' means-

   (a)  fringe benefits tax imposed by the Fringe Benefits Tax Act 1986, as
        assessed under the Fringe Benefits Tax Assessment Act;

   (b)  additional tax payable under section 93, sub-section 112 (4) or Part
        VIII of the Fringe Benefits Tax Assessment Act; and

   (c)  an instalment of fringe benefits tax payable under Division 2 of Part
        VII of the Fringe Benefits Tax Assessment Act;
' Fringe Benefits Tax Assessment Act' means the Fringe Benefits Tax 
Assessment Act 1986 ;". Before sub-section 4 (1)-
Insert the following sub-section:

"(1A) Section 5 of the Fringe Benefits Tax Assessment Act 1986 has effect as
if this Act were part of that Act.". After Part III-
Insert the following Part:

"PART IV-OFFENCES RELATING TO FRINGE BENEFITS TAX Application of Part I and
Part II in relation to fringe benefits tax

"14. (1) Without prejudice to their effect apart from this section,
sub-section 3 (3), paragraph 3 (4) (e) and the provisions of Part II (other
than section 8 and sub-section 10 (3)) also have the effect they would have
if-

   (a)  a reference in any of those provisions to sales tax were a reference
        to fringe benefits tax;

   (b)  a reference in any of those provisions to future sales tax were a
        reference to future fringe benefits tax;

   (c)  a reference in any of those provisions to some one or other of the
        Sales Tax Assessment Acts were a reference to the
        Fringe Benefits Tax Assessment  Act ; and

   (d)  a reference in any of those provisions, in relation to a company or
        trustee, to sales tax moneys were a reference to fringe benefits tax
        moneys.

"(2) For the purposes of the application of the provisions of Part II (other
than section 8 and sub-section 10 (3)) in accordance with sub-section (1) of
this section-

   (a)  a reference in any of those provisions to the fringe benefits tax
        payable by a company or trustee, in relation to the purpose, or a
        purpose, of a person entering into, or the knowledge or belief of a
        person concerning, an arrangement or transaction shall be read as a
        reference to some or all of the fringe benefits tax due and payable by
        the company or the trustee at the time when the arrangement or
        transaction was entered into;

   (b)  a reference in any of those provisions to future fringe benefits tax
        payable by a company or trustee, in relation to the purpose, or a
        purpose, of a person entering into, or the knowledge or belief of a
        person concerning, an arrangement or transaction shall be read as a
        reference to some or all of the fringe benefits tax that may
        reasonably be expected by that person to become payable by the company
        or trustee after the arrangement or transaction is entered into;

   (c)  a reference in any of those provisions, other than sub-sections 10 (1)
        and (2), in relation to a company or trustee, to fringe benefits tax
        moneys shall be read as a reference to-

        (i)    fringe benefits tax payable by the company or trustee; and

        (ii)   costs ordered by a court against a company or trustee in a
               proceeding for the recovery of fringe benefits tax; and

   (d)  a reference in sub-sections 10 (1) and (2) to fringe benefits tax
        moneys shall be read as a reference to fringe benefits tax that has
        been assessed under the Fringe Benefits Tax Assessment Act.

"(3) For the purposes of the application of sub-section 10 (2), section 11 and
section 12 in accordance with the preceding provisions of this section, the
liability of a company or trustee in respect of fringe benefits tax moneys
that have been assessed shall not be taken not to be finally determined by
reason only of the possibility of the Commissioner amending the assessment
(otherwise than as a result of an objection being allowed or at the direction
of a Board of Review or court).".
Income Tax Assessment Act 1936 After sub-section 6 (1A)-
Insert the following sub-section:

"(1B) A reference in this Act to a benefit, or a fringe benefit, within the
meaning of the Fringe Benefits Tax Assessment Act 1986, includes a reference
to a matter or thing that would be a benefit, or a fringe benefit, as the case
may be, within the meaning of that Act, if paragraphs (d) and (e) of the
definition of 'employer' in sub-section 136 (1) of that Act were omitted.".
After section 23K-
Insert the following section: Exemption of certain benefits in the nature of
income

"23L. Where the taxpayer derives income by way of the provision of-

   (a)  a fringe benefit within the meaning of the Fringe Benefits Tax 
        Assessment Act 1986 ; or

   (b)  a benefit (other than a benefit to which paragraph 26 (eaa) of this
        Act applies) that, but for paragraph (g) of the definition of 'fringe
        benefit' in sub-section 136 (1) of the
        Fringe Benefits Tax Assessment Act 1986, would be a fringe benefit
        within the meaning of that Act, the income is exempt income.".
        Sub-paragraph 26 (e) (ii)-
Omit "or" (last occurring). After sub-paragraph 26 (e) (iii)-
Insert the following sub-paragraphs:

"(iv) a fringe benefit within the meaning of the Fringe Benefits Tax 
Assessment Act 1986 ; or

        (v)    a benefit that, but for paragraph (g) of the definition of
               'fringe benefit' in sub-section 136 (1) of the
               Fringe Benefits Tax Assessment Act  1986 , would be a fringe
               benefit within the meaning of that Act;". After paragraph 26
               (e)-
Insert the following paragraph:

"(eaa) in a case where the taxpayer is provided with a benefit that, but for
section 22 of the Fringe Benefits Tax Assessment Act 1986, would be an expense
payment fringe benefit within the meaning of that Act-the amount of the
reimbursement referred to in that section;". Paragraph 26 (ea)-
Omit "otherwise:", substitute the following words and sub-paragraphs:

"otherwise, not being-

        (i)    a fringe benefit within the meaning of the Fringe Benefits Tax 
               Assessment Act 1986 ; or

        (ii)   a benefit that, but for paragraph (g) of the definition of
               'fringe benefit' in sub-section 136 (1) of the
               Fringe Benefits Tax Assessment Act  1986 , would be a fringe
               benefit within the meaning of that Act;". Sections 26AAAA and
               26AAAB-
Repeal the sections. After sub-section 51 (4)-
Insert the following sub-section:

"(4A) A deduction is not allowable under sub-section (1) in respect of tax
imposed by the Fringe Benefits Tax Act 1986.". After sub-section 51AE (5)-
Insert the following sub-sections:

"(5A) Sub-section (4) does not apply to a loss or outgoing incurred by the
taxpayer to the extent to which it is incurred in respect of-

   (a)  the provision of a meal where the provision of the meal constitutes a
        board fringe benefit within the meaning of the
        Fringe Benefits Tax Assessment  Act 1986 ;

   (b)  the provision of food or drink where the provision of the food or
        drink would, but for section 54 of the
        Fringe Benefits Tax Assessment Act 1986, constitute a fringe benefit
        within the meaning of that Act; or

   (c)  the provision of a living-away-from-home food fringe benefit within
        the meaning of the Fringe Benefits Tax Assessment Act 1986.

"(5B) A reference in sub-section (5A) to a fringe benefit within the meaning
of the Fringe Benefits Tax Assessment Act 1986 includes a reference to a
benefit that would be a fringe benefit within the meaning of that Act if the
period after 19 September 1985 and before 1 July 1986 were a period in a year
of tax within the meaning of that Act.". After section 51AG-
Insert the following section: Deductions not allowable where expenses incurred
by employee are reimbursed

"51AH. (1) Where-

   (a)  either of the following sub-paragraphs applies:

        (i)    a person makes a payment in discharge, in whole or in part, of
               an obligation of the taxpayer to pay an amount to a third
               person in respect of an amount of a loss or outgoing incurred
               by the taxpayer;

        (ii)   a person reimburses the taxpayer, in whole or in part, in
               respect of an amount of a loss or outgoing incurred by the
               taxpayer;

   (b)  the payment or reimbursement, as the case may be, constitutes-

        (i)    a fringe benefit; or

        (ii)   a benefit that, but for paragraph (g) of the definition of
               'fringe benefit' in sub-section 136 (1) of the
               Fringe Benefits Tax Assessment Act  1986 , would be a fringe
               benefit; and

   (c)  in the case of a reimbursement-the amount of the reimbursement is not
        included in the taxpayer's assessable income under paragraph 26 (eaa),
        the amount of the deduction that, but for this section, has been
        allowed or would be allowable in respect of the loss or outgoing shall
        be reduced by the amount of the payment or reimbursement.

"(2) Expressions used in this section and in the Fringe Benefits Tax 
Assessment Act 1986 have the same respective meanings in this section as they
have in that Act.". Section 51A-
Repeal the section. Sub-section 82KA (1) (definition of "net income")-
Omit "51A,". After section 82KZJ-
Insert the following section in Subdivision G of Division 3 of Part III:
Rental property income to include taxable values of certain fringe benefits

"82KZK. (1) For the purposes of this Subdivision, where-

   (a)  in respect of the employment of an employee of the taxpayer, the
        taxpayer provided a fringe benefit in relation to a year of tax ending
        in a year of income, being-

        (i)    a housing fringe benefit constituted by the subsistence of a
               lease in respect of land; or

        (ii)   a residual fringe benefit constituted by the subsistence of a
               lease in respect of land;

   (b)  the land was not exempt residential land in relation to the taxpayer;
        and

   (c)  either of the following sub-paragraphs applies:

        (i)    the taxpayer acquired an interest in the land after the
               commencement date;

        (ii)   the taxpayer or another person made a post commencement date
               improvement to the land, the taxpayer shall, in the year of
               income, in addition to any other amount of rental property
               income derived by the taxpayer, be deemed to have derived
               rental property income equal to the taxable value of the fringe
               benefit in relation to the year of tax.

"(2) Expressions used in this section and in the Fringe Benefits Tax 
Assessment Act 1986 have the same respective meanings in this section as they
have in that Act.". Sub-section 170 (10)-
Insert ", 51AH" after "51AD". Before paragraph 215 (3D) (a)-
Insert the following paragraph:

"(aa) tax within the meaning of sub-section 96 (2) of the Fringe Benefits  Tax
Assessment Act 1986 ;". Sub-section 221A (1) (definition of "salary or
wages")-
Omit all the words after "but does not", substitute the following word and
paragraphs:

"include-

   (p)  payments of exempt income;

   (q)  prescribed payments within the meaning of Division 3A; or

   (r)  living-away-from-home allowance benefits within the meaning of the
        Fringe Benefits Tax Assessment Act 1986;". Sub-sections 221C (4), (5)
        and (6)-
Omit the sub-sections.
Pay-roll Tax (Territories) Assessment Act 1971 Before paragraph 30 (3C) (a)-
Insert the following paragraph:

"(aa) tax within the meaning of sub-section 96 (2) of the Fringe Benefits  Tax
Assessment Act 1986 ;".
Sales Tax Assessment Act (No. 1) 1930 Before paragraph 32 (2D) (a)-
Insert the following paragraph:

"(aa) tax within the meaning of sub-section 96 (2) of the Fringe Benefits  Tax
Assessment Act 1986 ;".
Taxation Administration Act 1953 After paragraph 8J (2) (h)-
Insert the following paragraph:

"(ha) paragraph 128 (1) (c) of the Fringe Benefits Tax Assessment Act  1986
;". After paragraph 8ZE (3) (c)-
Insert the following paragraph:

"(ca) section 114 or 115 of the Fringe Benefits Tax Assessment Act  1986 ;".
Taxation (Interest on Overpayments) Act 1983 Sub-section 3 (1) (before
paragraph (d) of the definition of "decision to which this Act applies")-
Insert the following paragraph:

"(cb) in a case where the expression is used in relation to fringe benefits
tax imposed by the Fringe Benefits Tax Act 1986-a decision of the Commissioner
to amend an assessment made in relation to an employer reducing the liability
of the employer to tax, other than-

        (i)    a decision to give effect to an application or request by or on
               behalf of the employer for an amendment of the assessment; or

        (ii)   a decision made in consequence of another decision of the
               Commissioner to amend another assessment (whether of or by the
               employer or of another person), being another decision that was
               made to give effect to an application or request by or on
               behalf of the employer or the other person, as the case may be,
               for the amendment of the other assessment;". Sub-section 3 (1)
               (after paragraph (e) of the definition of "objection")-
Insert the following paragraph:

"(ea) sub-section 67 (6), 80 (1) or 98 (3) or (7) of the Fringe Benefits  Tax
Assessment Act 1986 ;". Sub-section 3 (1) (after paragraph (h) of the
definition of "relevant tax")-
Insert the following paragraph-

"(ha) tax within the meaning of sub-section 93 (1) of the Fringe Benefits  Tax
Assessment Act 1986 ;".
Tobacco Charges Assessment Act 1955 Before paragraph 27 (3C) (a)-
Insert the following paragraph:

"(aa) tax within the meaning of sub-section 96 (2) of the Fringe Benefits  Tax
Assessment Act 1986 ;".
Wool Tax (Administration) Act 1964 Before paragraph 47 (3C) (a)-
Insert the following paragraph:

"(aa) tax within the meaning of sub-section 96 (2) of the Fringe Benefits  Tax
Assessment Act 1986 ;".