Time To Check That Odometer Reading!

Feb 12, 2014 | Business, ITR

Adam Roberts
With the end of the Fringe Benefits Tax (FBT) year rapidly approaching, the time has come to check the odometer readings for all vehicles held within associated entities. This odometer reading must be documented for each vehicle, as at 31 March 2014 (this Monday).

The process of recording these odometer readings is particularly important for vehicles used predominantly for private purposes. By obtaining the odometer reading, we will be able to utilise the statutory formula method. This may assist in reducing your Fringe Benefits Tax obligation, by either reducing the FBT payable or the Employee Contribution required. Given that the 2014 FBT year is the final year in which we can access the transitional statutory fractions, it has never been more important to obtain this reading.

Your LBW representative will be sending a form to you shortly in respect of the vehicles held within your associated entities at 30 June 2013. It is important that the form is completed fully and that any new vehicles, or vehicles disposed of since 1 July 2013, are fully disclosed. For those who have purchased a vehicle since 1 July 2013 for the first time, please ensure that you document this odometer reading, as we will be requesting this information from you.

Please contact your LBW representative if you require clarification on the above matter.

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