Our partner Paul Mather from FBT Solutions answers some of your frequently asked questions
Q: If no past FBT Nil returns were lodged will it raise a flag with the ATO when a high volume of returns come through from us?
A: There is a greater risk of not being registered - non-registration is the ATO's major concern.
Once registered and "operating in the FBT system" there is much less chance of any ATO enquiries. To put it in context, currently there are nearly 800,000 employers not registered for FBT - so the ATO have more than enough employers not registered for FBT to investigate.
Q: Should we lodge previous FBT year data to avoid an ATO audit if the client has not previously lodged?
A: If the client has a FBT liability in a prior year and the data / records are available to prepare the FBT return, then I would suggest it is the right thing to do and lodge the return.
Accountants need to offer Fringe Benefit Tax (FBT) returns preparation to help clients reduce their ATO audit risk and lodge their FBT returns
How: Use the FBT Return System and client emails in Core> Resources
For more insights watch the recent 2023 FBT Launch webinar