The Government has tonight announced that it will increase the fringe benefits tax exemption thresholds for long service award benefits.
The current exemption thresholds will be doubled, from $500 to $1,000 for 15 years of service, and from $50 to $100 for each additional year of service.
The increase in the exemption thresholds will ensure that employers who wish to provide long service awards to their long-serving employees will not pay fringe benefits tax on the value of awards below these thresholds.
The increase in the exemption thresholds will apply from 1 April 2005.