This information sheet aims to provide a brief overview of indirect taxes with specifics to what can be claimed. We can assist with indirect tax obligations, including Goods and Services Tax (“GST”), Fuel Tax Credits (“FTC”), Fringe Benefits Tax (“FBT”) and Payroll Tax.
Many organisations are not aware or do not fully understand their obligations and entitlements according to the legislation. Our service offering ensures that relevant tax items are reported clearly, potential risks are identified and managed, and value and efficiencies are added to your indirect tax processing.
You can claim a credit for the GST included in the price of goods or services you purchase for your business, unless you use the purchase to make input-taxed sales. However, if you use the purchase partly for private purposes, you will not be entitled to claim a credit for the full amount of GST, only for the amount that relates to business use.
Fuel Tax Credits
You can claim a credit for taxable fuel that you acquire or manufacture in, or import into, Australia to the extent that you do so for use in carrying on your enterprise. The amount of fuel tax credits you can claim depends on when you acquired the fuel, what fuel you use and the activity you use it in.
You are also entitled to claim FTC’s if you are a householder using fuel to generate domestic electricity, or a non-profit organisation that is not required to be registered for GST, operating emergency vehicles or vessels. These credits are claimed through a claim form.
Fringe Benefits Tax
FBT is paid by employers on certain benefits they provide to their employees or their employee’s family, or other associates.
It applies even if the benefit is provided by a third party under an arrangement with the employer.
For FBT purposes, an employee includes a current, future or past employee, a director of a company, or a beneficiary of a trust who works in the business.
A general-purpose tax assessed on the wages paid by an employer. It is a self-assessed tax meaning that the onus is on you, as an employer, to ensure that any information you provide is correct and that you comply with your tax obligations.