If you’re planning end-of-year celebrations or giving gifts to your staff, it’s important to understand how Fringe Benefits Tax (FBT) may apply. FBT can affect costs for parties, events and gifts provided to employees and their associates, depending on factors such as location, attendees and the value of the benefit.
Visit the Australian Taxation Office (ATO) website to learn about exemptions and view practical examples.
Keeping accurate records – such as guest lists, invoices and receipts – is essential, even if the expense is exempt. This helps ensure compliance and avoids unexpected tax bills.
You can also subscribe to the ATO’s Small business email newsletter to stay up to date.
Source: Business Tasmania Newsletter December 10, 2025.