
ACC708 Taxation Law
FBT Revision Questions
Question 1:
Aussie (P) Ltd. provided a facility of the gymnasium to its worker Julie without charge|for complimentary|for gratis} and therefore the cost of that gymnasium package is $ 1950 to the corporate. As Julie is receiving this profit without charge and no quantity is paid by her as a contribution, it’ll be assumed because the Fringe edges Tax (PBT) and can be dutiable within the hands of the corporate (FBT Act, 1936). it’s conjointly thought that Aussie is entitled to induce the input reduction of GST therefore it’ll be grossed through the upper rate.
Particulars | Amounts $ |
Value of benefit | 1950 |
Gross up | 2.0647 |
Taxable value | 4026 |
Tax rate | 46.5 |
Tax obligation | 1872 |
In this case, $ 1950 could be an internet price that needs gross-up with higher rates (2.0647 in 2013), and taxes on such gross prices are going to be paid by the corporate.
Question 2:
This case is expounded to associate expense payment benefit that refers that if associate leader reimburses the expenditure of associate worker that was spent to his personal use, are going to be assumed as FBT and dutiable within the hands of the leader. in keeping with this regulation of the FBT Act 1936, the dutiable price of a benefit is going to be the number that’s reimbursed by the leader to its worker. within the gift case, the dutiable price is going to be 4200. Grossed up dutiable price is going to be as below:
Particulars | Amounts $ |
Value of benefit | 4200 |
Gross up factor | 2.0802 |
Gross Taxable value | 8737 |
Tax rate | 47 |
Tax obligation | 4106 |
As the company is eligible to require the deduction of GST, a gross-up is going to be created with a better price to balance the tax payment. within the current case, the dutiable price of the profit is going to be the particular quantity that is paid by the leader to Julie.
Question 3:
Reimbursement of private expenses sort of an account, servant salaries, etc. square measure assumed as FBT below the perimeter edges act is paid by the leader to its worker. The existence of the employer-employee relationship is critical to spot the FBT. Gross-up of profit is subjected to the GST provisions associated with a leader, United Nations agency isn’t entitled to induce the GST credit, can gross up the profit with a lower rate of gross-up.
Particulars | Amounts $ |
Value of benefit | 6000 |
Gross-up factor in 2014 | 2.0647 |
Gross Taxable value | 12388 |
The current case is expounded to private expense compensation {in that|during which|within which} the dutiable price of the profit are going to be capable the number which is paid by the leader to associate worker in compensation. As Aussie (P) Ltd is allowable to require the input credit, the gross-up can is formed with a better gross-up issue that is two.0647 for the year 2014.
Best Services
Managing time was challenging for me, but I got the solution to my problems when I hired their experts. They are there to write my college projects, and I need not worry about the grades at least.
Best Services
Thanks guys, I’ve been taking their services for the past five months and was never disappointed.
Best Assignment Help Melbourne
I have so far ordered four hospitality and tourism assignments with this website. For two of the assignment they were done very nicely with all proper writing, referencing and citations and I got a good grade distinction for both of them. I am really happy with the outcome of this Australia assignment help service. My third assignment was actually a dissertation proposal and literature review writing assignment for customer relationship management hospitality course and that one needed a little bit modification as suggested by my professor. I immediately reported the feedback to Cheapassignmenthelp.co.uk and these guys provided me 2 times free rework and in the end that assignment also I got a distinction. So all is well and good for me. I normally pay a decent charge to get a decent quality assignment but I am happy with the overall quality of assignment writing, literature review is good and standard journals and references are used by the writers. Overall customer care is also very helpful and makes sure that I am given a good attention to understand my order details and any rework. Its a fast service and I have received most of my work before 2 days deadline also.
I would give you ration 10
This online assignment site has not only impressed me but my parents as well. After my school, my mother had to spare some extra time to help me with my homework’s and projects and because of this she frequently have to take half time from her office. But from the time I interact with the members of this site, all the problems are completely resolved. I can stay at home and learn under the guidance of expert and my mother no more need to take leave from her work. My grades also showed good improvements. So this site have erased our problems and helped me learn in the homely environment.
Complete your assignment with cheapassignmenthelp.co.uk
It has been a long time when I was working on the project given in the college, but still, I failed to complete it in the desired manner. The date of submission was near and I was worried about the work. Then I got to know about this site from different friends. My work was completed before the allotted time and that too in very impressive and effective way. Cheap assignments were appreciated by teachers and all my fellow classmates. It was a great feeling….
Taxation Law

As per the taxation Laws to Australia, a visitor visiting Australia is liable to pay tax. However, there are certain aspects of that are being checked to ensure the fact that the tax liability being imposed is at par the guidelines of Australian taxation laws.