Free Australian FBT calculator. Calculate Fringe Benefits Tax at the current rate of 47% with Type 1 (2.0802) and Type 2 (1.8868) gross-up rates. Includes a dedicated car FBT calculator using the statutory formula method. Essential for employers providing non-cash benefits.
FBT Rate: 47.0% | Type 1 Gross-up: 2.0802 | Type 2 Gross-up: 1.8868
FBT Payable
$0.00
Annual FBT liability
Grossed-Up Value
$0.00
Type 1 gross-up applied
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FBT is a separate tax from income tax, paid by the employer. It applies when you provide non-cash benefits to employees, such as allowing personal use of a company car, providing entertainment, paying for private health insurance, or offering housing.
The FBT rate is 47% (equal to the top marginal tax rate plus Medicare levy). The gross-up mechanism adjusts the taxable value to reflect the pre-tax income an employee would need to earn to buy the benefit themselves. Type 1 gross-up (2.0802) applies when GST credits are claimable; Type 2 (1.8868) when they're not.
Strategies to reduce FBT include: employee contributions (reduce the taxable value dollar-for-dollar), using the operating cost method instead of statutory formula for cars driven primarily for business, providing exempt benefits (portable electronic devices, tools of trade, minor benefits under $300), and transitioning to electric vehicles which are FBT-exempt.
FBT is a tax paid by employers on certain benefits provided to employees (or their associates) in addition to salary or wages. Common fringe benefits include company cars, car parking, entertainment, and housing. The FBT rate is 47%.
The FBT year runs from 1 April to 31 March (not the standard financial year). FBT returns are due by 21 May following the end of the FBT year. For example, the 2025 FBT year covers 1 April 2024 to 31 March 2025.
Type 1 benefits are those where the employer can claim a GST credit on the benefit (gross-up rate: 2.0802). Type 2 benefits are those where the employer cannot claim a GST credit (gross-up rate: 1.8868). The gross-up accounts for the income tax the employee would have paid.
Under the statutory formula method, the taxable value is: (Car cost price × 20% × Days available) ÷ 365, minus any employee contribution. The 20% statutory fraction applies regardless of distance traveled.
Yes, zero and low-emission vehicles (battery electric, hydrogen fuel cell, plug-in hybrid) are exempt from FBT, provided they were first held and used on or after 1 July 2022. However, plug-in hybrids first used after 31 March 2025 lose the exemption unless committed before that date.
OneBookPlus handles invoicing, GST tracking, BAS prep, and ATO lodgement automatically.
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