Covering meal entertainment, travel expenses, food and drink costs, local, overseas travel allowances, tax reporting and policy
Designed for Finance, Accounts Payable, HR, Payroll and Tax personnel
FBT Solutions is delighted to offer you the opportunity to attend a half day training seminar that will explain the rules to do with employee expenses, food and drink, entertainment and travel expenses.
What we’ll cover
If your organisation provides or reimburses any of the following:
• Employee expenses
• Meal costs
• Entertainment expenses
• Travel advances
• Business travel reimbursements
• Travel allowances
• Per diems
• Living away from home allowances
Anything else? Once you’ve registered, we’ll send you a Questionnaire – to make sure we cover what you need to know!
What you’ll get
• User friendly guidelines for Meal Entertainment, Food & Drink Costs & Other common employee expenses
• A full set of seminar notes including practical examples
• Plenty of question time
• Free follow up query service
CPD/CPE hours: 4 hours, certificate will be provided
Seminar content includes
• Motor vehicle expenses
• On premises meals v off premises meals
• Credit card reconciliation
• Foreign currencies
• GST free & input taxed purchases
• Travel diaries
• Tax invoice requirements
• Recommended accounting processes
• Correcting mistakes
• Understand the FBT, GST & Income Tax implications
• Travelling employees
• Non travelling employees
• Overseas visitors
• Policy requirements
• Travelling clients
• Non travelling clients
• FBT Reporting
• BAS Reporting
• Employee Payment Summary Reporting
• Light lunches
How much does it cost?
Your investment: $440 including GST Register by 31 August: $385 including GST.
Better practices for managing specific fringe benefit types (from the ATO website – see link below)
This information outlines the legislative basis for fringe benefits tax (FBT) and provides guidance for managing specific benefit types. It outlines better practices that entities can adopt to help ensure that the capture and reporting of information for each benefit type complies with legislative requirements and related ATO rulings and guidance material.
The information is designed to help FBT Managers and other staff who have specific FBT responsibilities such as human resources staff, fleet managers and others involved in the day-to-day administration of FBT, to effectively meet an entity’s FBT obligations.
HUNG up the ”Will Not Return” sign and headed out for three boozy courses and a couple of hundred-dollar bottles lately – or has post-GFC austerity put the kibosh on the long and lavish lunch?
Investor John Mactaggart, a one-time lunch scene stalwart, thinks so. The fringe benefits tax killed the boozy blowout the first time around and the GFC has dealt the resurrected version a similar death blow, he says.
A founder of the listed software vendor Technology One, Mactaggart now limits himself to an annual afternoon-into-evening session with his accountant and shorter affairs at restaurants and clubs once a month. Between times, there are lots more ”cups of coffee down the road at 10 or 11” than once there were.
”People have become more selective about what they do and how they do it,” Mactaggart said. ”You enjoy it when it’s there but there’s always something else to do. People are busier – most people don’t even go for a walk at lunchtime. They don’t see the value in the sort of old-fashioned networking of the boozy lunch. There’s a perception that unless you’re doing work, you’re not working.”
Retail development consultant David Hedemann reports a similar pattern of non-consumption in the construction world; a sector once renowned for keeping fine dining establishments and gentlemen’s clubs ticking over on a Friday afternoon. ”It’s not happening in bigger companies any more – budgets have been cut back,” Hedemann said.
”Lunches have become a lot more targeted – the ‘payback’ needs to be more immediate.”
Hedemann’s weekly five-star nosh-ups of a decade ago have also been replaced with ”a lot of coffees”. When more substantial entertainment is called for, prospective clients are invited to Property Council of Australia functions, where guest speakers and networking opportunities mean it’s not just a straight junket.
The popularity of this sort of multi-function entertaining is rising, as the boozy lunch wanes.
Founder of the Business Chicks networking group Emma Isaacs said booking tables at organised events had several advantages over old-style, one-on-one schmoozing.
”You can take eight people at once and do networking that way,” Isaacs said. ”It’s more cost-effective and everyone can mix.”
Corporate abstinence has helped tighten the pinch for many silver service restaurants already struggling with dwindling demand for top-end fare in the evening.
In Sydney, high-profile casualties this year have included Ad Lib, Etch and the Berowa Waters Inn while further north, the Queensland Rugby Club, once the place for suits to be seen, went into liquidation earlier this month.
Fine dining comprises 40 per cent of Australia’s $14.3 billion restaurant bill each year, according to IBISWorld research. A more prudent spending climate has kept growth to 1.1 per cent a year since 2007, IBISWorld senior analyst Naren Sivasailam said.
But prudent is as prudent does, according to restaurateur John Fink. His family company owns Quay, Otto and The Bridge Room, top-end Sydney nosheries where tabs don’t come in under $100 a head. Fink says his midday tables are still well stacked with politicians and high flyers, corporate cutbacks or no.
”People may not be spending hundreds and hundreds on a bottle of wine but they haven’t stopped spending either,” Fink said.
Rather, business diners were condensing their meals into a 90-minute window and eschewing random largesse for a more targeted approach to entertaining.
”People don’t have time to go pissing it up and having three-hour lunches,” Fink said. ”Yes, people are spending, but only when there’s an actual goal. People are going for the cheaper options, but if they want to impress they come to us, or Neil Perry – when it counts.”
From the ATO Website,a good summary of the recent history on the LAFHA changes, with relevant links.
On 29 November 2011, the government announced reforms to the living-away-from-home allowances and benefits. Further extensions to these reforms were announced in the 2012-13 Budget, and upon introducing the legislation into parliament on 28 June 2012.
Under the proposed changes a living-away-from-home allowance will generally be treated as assessable income of the employee rather than as a fringe benefit, with effect from 1 October 2012.
Access to the tax concessions for living-away-from-home allowances and benefits will be limited to:
employees who maintain a home in Australia for their personal use and enjoyment that they are required to live away from for work (regardless of whether they are permanent or temporary residents)
actual substantiated expenditure on accommodation, and food and drink beyond a specified amount
a maximum period of 12 months in respect of an individual employee for any particular work location.
Transitional rules apply to permanent residents who have employment arrangements for living-away-from-home allowances and benefits in place prior to 7.30pm (AEST) on 8 May 2012.
Transitional rules also apply to temporary residents (maintaining a home in Australia for their personal use and enjoyment that they live away from for work) who have employment arrangements for living-away-from-home allowances and benefits in place prior to 7.30pm (AEST) on 8 May 2012.
From 1 October 2012, living-away-from-home benefits (that is, the direct provision of accommodation, food or expense payments) provided to employees who would not be eligible to claim an income tax deduction had they incurred the expenses directly, will be subject to FBT.
media release no. 055, Tax changes to living-away-from-home allowances and benefits introduced into Parliament, issued by the Assistant Treasurer on 28 June 2012
media release no. 029, Reform of living-away-from-home allowances and benefits – draft legislation released for consultation, issued by the Assistant Treasurer on 15 May 2012
media release no. 148, Tax measures in mid-year economic and fiscal outlook, issued by the Treasurer on 29 November 2011.