[Jackie769]

Hi Guys

My company are looking to second me from Australia to the UK for a period of time - we are currently trying to determine for how long.

If the company were to provide me with accommodation, health insurance do they have to pay FBT on these benefits? Would the amount they pay differ if I were deemed to be a UK tax resident vs an Australian tax resident?

What is the UK FBT rate?

Cheers

Jackie

 

[Moulard]

Housing Fringe Benefits...

The housing fringe benefit rules apply only to accommodation that is the employee's usual place of residence.

An employee is regarded as living away from their usual place of residence if they are required to do so in order to perform their employment-related duties and could have continued to live at the former place if they did not have to work temporarily in a different locality.

Whether a place is an employee's usual place of residence is a question of fact, based on all the circumstances.

A secondment by definition is temporary, but I suspect that at a certain point in time the UK becomes your usual place of residence. One actually might argue, then at that point you are actually a UK tax resident. But that aside, if it was deemed a fringe benefit, there are reductions in the taxable rate for temporary accommodation at the new location.