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Goods and Services Tax Act 1985

Returns and payment of tax - Calculation of tax payable: deductions, apportionment, other adjustments

23A: Payment of tax relating to fringe benefits

You could also call this:

"Paying tax on extras you give your employees"

Illustration for Goods and Services Tax Act 1985

If you provide a fringe benefit to someone under the Income Tax Act 2007, you must pay tax on it. You pay this tax when you file your FBT return, by the time specified in certain sections of the Income Tax Act 2007 and the Tax Administration Act 1994. You treat the payment of this tax as a payment of FBT for filing your fringe benefit return and for certain parts of the Tax Administration Act 1994. When you pay the tax on the fringe benefit, it is like paying FBT, and this affects how you file your return.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM83971.

Topics:
Money and consumer rights > Taxes
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Part 3Returns and payment of tax
Calculation of tax payable: deductions, apportionment, other adjustments

23APayment of tax relating to fringe benefits

  1. A registered person who provides or grants a fringe benefit to another person under the Income Tax Act 2007 must pay the tax on the taxable value of the fringe benefit in the person's FBT return by the time specified in sections RA 15, and RD 59 to RD 62 of the Income Tax Act 2007 and sections 46B to 46D of the Tax Administration Act 1994 as is appropriate.

  2. Payment of the tax on the taxable value of the fringe benefit is treated as a payment of FBT for the purposes of filing the fringe benefit return and Parts 4A, 6, 7, 9, 10 and 11 of the Tax Administration Act 1994.

Notes
  • Section 23A: inserted, on , by section 69(1) of the Taxation (Beneficiary Income of Minors, Services-Related Payments and Remedial Matters) Act 2001 (2001 No 4).
  • Section 23A(1): amended, on (effective for 2008–09 income year and later income years, except when the context requires otherwise), by section ZA 2(1) of the Income Tax Act 2007 (2007 No 97).
  • Section 23A(2): added, on , by section 105(1) of the Taxation (Relief, Refunds and Miscellaneous Provisions) Act 2002 (2002 No 32).
  • Section 23A(2): amended, on (effective for 2008–09 income year and later income years, except when the context requires otherwise), by section ZA 2(1) of the Income Tax Act 2007 (2007 No 97).