Further rise in FBT rate for low-interest loans
The rate used to calculate FBT tax on low-interest, employment-related loans has risen to 10.37%, and applies from 1 October 2007.
The prescribed rate used to calculate fringe benefit tax on low-interest, employment-related loans has risen to 10.37%, up from the 9.79% rate announced for the preceding quarter.
The revised rate applies from 1 October 2007.
The rate is reviewed regularly to align it with the results of the Reserve Bank's survey of first mortgage interest rates and was last adjusted with effect from 1 July 2007.
The new rate was set by Order in Council on 27 August 2007.
Income Tax (Fringe Benefit Tax, Interest on Loans) Amendment Regulations No (2) 2007 (2007/262).