The ATO sets a benchmark interest rate each FBT year that is used to calculate the taxable value of low-interest loan benefits provided by employers to employees. A loan benefit arises when an employer provides a loan at an interest rate lower than the ATO's benchmark rate. The taxable value is the difference between the interest that would have been charged at the benchmark rate and the interest actually charged. In ChangeGPS FBT, the benchmark rate for the selected FBT year is applied automatically in the Loan tab. For FBT year 2025 the benchmark rate is 8.77% and for FBT year 2026 it is 8.65% (subject to ATO confirmation). Enter the actual interest rate and loan balance to calculate the taxable loan benefit.
What is the benchmark interest rate for loan benefits in ChangeGPS FBT?
Benchmark interest rate for loan benefits in ChangeGPS FBT and taxable value calculation