The most cost-efficient benefit an employer can give an employee is one that is both deductible for income tax purposes and exempt from Fringe Benefits Tax (FBT).
One such type of benefit is the ‘work-related item’ FBT exemption.
Like all concessions, there are some requirements that must be met to take advantage of it.
What is as a work-related item?
For FBT purposes, a work-related item is a portable electronic device, an item of computer software, an item of protective clothing, a briefcase, or a tool of trade.
In practice, most of these are self-explanatory and need no further explanation – the exception being the first category of items, portable electronic devices.