The ATO will release exposure draft legislation for consultation on the 2015-16 Budget measure that limits the fringe benefits tax concessions on salary packaged entertainment benefits.
The measure will introduce a separate single grossed-up cap of $5,000 for salary packaged meal entertainment and entertainment facility leasing expenses (entertainment benefits) for employees of public benevolent institutions, health promotion charities and employees of public and not-for profit-hospitals and public ambulance services. Currently these employees can salary package entertainment benefits with no FBT payable by the employer and without the benefits being reported.
Comments on the draft legislation and explanatory materials can be made via a submission, before 21st August 2015.
More information can be found here.