December is that time when many businesses wind down and culminate the year. It’s a month we all look forward to as we get to spend time in a social setting without the busyness of work humming away. Across small- and medium-sized enterprises in Australia, providing Christmas parties and gifts to both clients and staff is quite common.
Many businesses, however, mistake of thinking that these costs are automatically tax-deductible. The costs can either be subject to Fringe Benefits Tax or deductible for tax. This is why businesses hire a tax agent in Sydney.
In this post, we’ll go over fringe benefit tax and how it works in connection with tax deductions.