FBT rate for low-interest, employment-related loans
Order in Council increases the prescribed rate of interest used to calculate FBT on low-interest, employment-related loans to 9.01% for quarter beginning 1 Jul 2005.
The prescribed rate of interest used to calculate fringe benefit tax on low-interest, employment-related loans has increased from 8.76% to 9.01% for the quarter beginning 1 July 2005. The rate is reviewed regularly to ensure it is aligned with the Reserve Bank's survey of first mortgage interest rates. The new rate was set by Order in Council on 23 May 2005.
Income Tax (Fringe Benefit Tax, Interest on Loans) Amendment Regulations (No 2) 2005, 2005/132