A public ruling, when issued, is the published view of the Commissioner of State Revenue (the Commissioner) on the particular topic to which it relates. It therefore replaces and overrides any existing private rulings, memoranda, manuals and advice provided by the Commissioner in respect of the issue(s) it addresses.
Where a change in legislation or case law (the law) affects the content of a public ruling, the change in the law overrides the public ruling—that is, the Commissioner will determine the tax liability or eligibility for a concession, grant or exemption, as the case may be, in accordance with the law.
1 ÷ (1 – FBT rate)
ABC Pty Ltd made the election to adopt the alternative method of declaring fringe benefits for payroll tax purposes. In the FBT year ended 31 March 2015, the total taxable value of the fringe benefits grossed up by the Type 2 factor is $100,000. If ABC lodges periodic returns monthly, ABC Pty Ltd would declare $8,333 of fringe benefits in each periodic return for July 2015 to May 2016 (i.e. 1 ÷ 12 × $100,000 = $8,333).
In its FBT return for the year ended 31 March 2016, the total taxable value of the fringe benefits grossed up by the Type 2 factor is $105,000, which is the amount that would be declared as the fringe benefits amount in the 2015–16 payroll tax annual return.
The value of fringe benefits of XYZ Pty Ltd in its 31 March 2015 FBT return after grossing up by the Type 2 factor is $1,200,000. XYZ Pty Ltd paid a total of $6,000,000 (excluding fringe benefits) in taxable wages for the 2014–15 financial year, of which $3,000,000 (excluding fringe benefits) were Queensland wages.
XYZ lodges periodic returns monthly.
($3,000,000 ÷ $6,000,000) × $1,200,000 = $600,000 estimated Queensland fringe benefits
Therefore, $600,000 ÷ 12 = $50,000 of fringe benefits is to be declared in each periodic Queensland payroll tax return for July 2015 to May 2016.
The value of fringe benefits of XYZ Pty Ltd in its 31 March 2016 FBT return after grossing up by the Type 2 factor is $1,800,000. The total Australian taxable wages for the 2015–16 financial year were $8,000,000 (excluding fringe benefits), of which $6,000,000 (excluding fringe benefits) were Queensland taxable wages.
($6,000,000 ÷ $8,000,000) × $1,800,000 = $1,350,000
The Queensland component of fringe benefits to be declared in the 2015–16 annual return is $1,350,000.
Commissioner of State Revenue
Date of issue: 1 July 2016
|Public Ruling||Issued||Dates of effect|
|PTA003.4||1 July 2016||1 July 2016||Current|
|PTA003.3||21 June 2013||21 June 2013||30 June 2016|
|PTA003.2||3 July 2009||3 July 2009||20 June 2013|
|PTA003.1||24 February 2009||1 July 2008||2 July 2009|