Low Impact

Strange as it may sound, Australia’s current tax rules have the side effect of encouraging people to pump more carbon dioxide into the atmosphere.  The main culprit is Fringe Benefits Tax (FBT) - a tax on benefits that an employer offers its employees, specifically the rules on company cars.

Consult an accountant for the details, but the following description should give you the idea.  Basically, FBT is designed to ensure that people don’t evade tax by having their employer provide something to them as part of a salary package (”Join us and we’ll pay you $40,000 a year, plus a new TV!”) - where an employer provides something that is of personal benefit to the employee, the… Continue reading