Method statement

Step 1.    Work out under Division 3 for each of the employer's employees the individual fringe benefits amount for the year of tax in respect of the employment of the employee by the employer.

Step 2.    Add up all the individual fringe benefits amounts worked out under Step 1.

Step 3.    Add up the taxable value of every excluded fringe benefit (other than an amortised fringe benefit) relating to an employee of the employer, the employer and the year of tax.

                   Note:             Subsection 5E(3) explains what is an excluded fringe benefit.

Step 4.    Add the total from Step 2 to the total from Step 3.

                   Note:             The result of Step 4 is the employer's aggregate fringe benefits amount if there are no amortised fringe benefits or reducible fringe benefits in relation to the employer.

Step 5.    Add to the total from Step 4 the amortised amount for the year of tax of each amortised fringe benefit (if any) relating to an employee of the employer, the employer and any year of tax.

Step 6.    Subtract from the total from Step 5 the reduction amount for the year of tax of each reducible fringe benefit (if any) relating to an employee of the employer, the employer and the year of tax.

Method statement

Step 1 .   Identify the fringe benefits in respect of each of the employer's employees that are GST‑creditable benefits (see section 149A), and work out under Division 3 for each of those employees the individual fringe benefits amount for the year of tax in relation to those fringe benefits.

Step 2.    Add up all the individual fringe benefits amounts worked out under step 1.

Step 3.    Identify the excluded fringe benefits for the year of tax in respect of each of the employer's employees that are GST‑creditable benefits (see section 149A), and add up the taxable values of all those excluded fringe benefits.

                   Note:             Subsection 5E(3) explains what is an excluded fringe benefit.

Step 4.    Add the total from step 2 to the total from step 3. The total amount is the employer's type 1 aggregate fringe benefits amount for the year of tax.

Method statement

Step 1.    Identify, in respect of each of the employer's employees, the fringe benefits that are not taken into account under step 1 of the method statement in subsection (3), and work out under Division 3 for each of those employees the individual fringe benefits amount for the year of tax in relation to those fringe benefits.

Step 2.    Add up all the individual fringe benefits amounts worked out under step 1.

Step 3.    Identify, in respect of each of the employer's employees, the excluded fringe benefits for the year of tax that are not taken into account under step 3 of the method statement in subsection (3), and add up the taxable values of all those excluded fringe benefits.

                   Note:             Subsection 5E(3) explains what is an excluded fringe benefit.

Step 4.    Add the total from step 2 to the total from step 3. The total amount is the employer's type 2 aggregate fringe benefits amount for the year of tax.