Generally, a fringe benefit arises where an employer provides a motor vehicle which is held available for the private use of an employee. However, FBTAA 1986 s 8(2) and 47(6) provide a general exemption for motor vehicles which are not cars so long as any private use is “minor, infrequent and irregular”.
A motor vehicle which is not a car, otherwise known as an “exempt” or “eligible” vehicle is:
- a taxi, panel van or ute designed to carry a load of more than one tonne
- any road vehicle designed to carry or transport more than eight passengers, or
- any other road vehicle which is not designed for the principal purpose of carrying passengers.