Summary

This topic explains fringe benefit tax fields in Australian payment summaries and annual reports, and it defines 'zero income' for these reports.

FBT field settings

The FBT field settings in payment summaries and annual reports are determined by the method your company uses to record employee FBT; as indicated by your Company Settings | Payroll | Tax | FB employer type value.

FBT allowances

If your company records FBT allowance information (FB employer type = "None"), then you must specify the following setup values:

• FBT Allowance Group
• FBT Date From
• FBT Date To.

FBT deductions

If your company records FBT deduction information (FB employer type = "PBI", "HOSP" or "REB"), then you must specify the following setup values:

• FBT Date From
• FBT Date To.

You can leave FBT Allowance Group blank.

FBT field setting results

The following table shows the results of these FBT field settings:

Historic Reports

If FBT Allowance Group is [Blank], then the report includes all fringe benefit deduction transactions with an end date between the FBT Date From and FBT Date To (inclusive).

If FBT Allowance Group is not [Blank], then the report includes:

• All fringe benefit allowance transactions that belong to the FBT Allowance Group with an end date between the FBT Date From and FBT Date To (inclusive)

  - and -

• All fringe benefit deduction transactions with an end date between the FBT Date From and FBT Date To (inclusive).

Current Reports

The report sources the RFBA value from the employee's Accum (ii) tab | RFBA accumulator field.

FBT Gross Up %

• If the employee's YTD FBT value is a grossed-up amount, then set FBT Gross Up % to 0.00 or leave the field blank.
• If the employee's YTD FBT value is not a grossed-up amount, then set FBT Gross Up % to the FBT gross up rate (currently 46.5%).
• If you enter FBT Gross Up % = 100.00, then the following warning appears when you run the report:

  "Invalid 'FBT Gross Up %' value. Enter a value between 0.00 and 99.99."

• You cannot enter invalid characters in the FBT Gross Up % field.

Reportable Fringe Benefit Limit $

When a Reportable Fringe Benefits Limit $ is specified, the report compares the Grossed-up FB Amount to the Reportable Fringe Benefits Limit $.

• If the Grossed-up FB Amount exceeds the Reportable Fringe Benefits Limit $, then the Reportable Fringe Benefit Amount field displays the Grossed-up FB Amount.
• If the Grossed-up FB Amount does not exceed the Reportable Fringe Benefits Limit $, then the Reportable Fringe Benefit Amount field is blank.

When a Reportable Fringe Benefits Limit $ is not specified, the Reportable Fringe Benefit Amount field displays the Grossed-up FB Amount.

Note: If you enter a negative value in the Reportable Fringe Benefits Limit $ field, then your report values will be incorrect.

Zero Income

Payment summaries and annual reports will not generate details for employees who have 'zero income' in that financial year. The definition of 'zero income' depends on the type of report and the financial year.

• Individual Non-Business Payment Summaries and records in the Payment Summaries annual report 2008/2009.

  Employee has zero or negative values for all the following: Total Tax Withheld, Gross payments, CDEP payments, Other income, Reportable fringe benefit amount, Lump sum payments A, Lump sum payments B, Lump sum payments D and Lump sum payments E, no list of Allowances, no list of Deductions and no list of Workplace giving.

• Individual Non-Business Payment Summaries and records in the Payment Summaries annual report 2009/2010.
  • Employee has zero or negative values for all the following: Total Tax Withheld, Gross payments, CDEP payments, Reportable fringe benefit amount, Lump sum payments A, Lump sum payments B, Lump sum payments D and Lump sum payments E, Total Allowances, Union/Professional Association Fees, Workplace giving and RESC

    - or -

  • Employee's Exempt Foreign Employment Income is the only value greater than zero.
• Business and Personal Services Income payment summary records 2009/2010 (data record in the Payment Summaries Annual report only; PayGlobal does not support a Payment Summary for this contract type).

  Employee has zero or negative values for all the following: Total Tax Withheld, Gross payments, and RESC.

• Employment Termination Payment Summaries and data records in the Payment Summaries annual report 2008/2009.

  An employee is not considered to have 'zero income' if one of the following values is greater than zero: Total Tax Withheld, Taxable Component or Tax Free Component.

• Employment Termination Payment Summaries and data records in the Payment Summaries annual report 2009/2010.

  Employee has zero or negative values for all the following: Total Tax Withheld, Taxable Component and Tax Free Component.

  Note: PayGlobal bases 'zero income' on reported whole dollar values. Values less than a dollar (such as an allowance of 0.99) are not included in the Gross Payment and do not appear in the allowance list on the payment summary.