The holiday season is a time when you can give back to your hardworking employees. This can mean organising Christmas parties and offering gifts to your employees and clients as a token of your appreciation.
While giving gifts over Christmas can help you boost employee morale, it also has tax considerations, particularly Fringe Benefits Tax (FBT) considerations.
In this guide, we will explore different holiday-related scenarios where FBT can apply to your small business, including the rules, exemptions, and tax implications for your small business. Understanding FBT during the holiday season can help you plan your Christmas activities and avoid surprises.