1.1.E.90 Employer provided benefit (YA)

Definition

For the purposes of the YA parental means (1.1.P.45) test an employer provided benefit is a benefit an employer provides to, or on behalf of, an employee for the employee's, or in some cases their family's, private use.

Example: Employer provided benefits include:

  • cars,
  • school fees,
  • private health insurance,
  • low interest loans,
  • housing assistance,
  • financial investments, and
  • expense benefits.

Example: Some of the most common types of expense benefits include:

  • telephone expenses,
  • holiday expenses,
  • medical or hospital expenses,
  • union dues/professional association membership fees,
  • fuel and/or power expenses, including electricity, gas, oil or firewood,
  • entertainment,
  • grocery bills,
  • credit card accounts,
  • sporting or social club fees, and
  • child care expenses.

Amounts paid to meet or reimburse expenses incurred in connection with the employee's employment are NOT employer provided benefits.

Act reference: SSAct section 1067G-F11 Income components for tax year, section 8(1)-'income amount'

Last reviewed: 3 January 2017