Value of payments associated with enjoying housing rights—general
1157TE Value of payments associated with enjoying housing rights—general
This is how to work out the value of a housing fringe benefit to which subsection 1157I(5) applies that is provided to a person who is not an employee of the Defence Force:
Method statement
Step 1. Work out the location of the unit of accommodation and go to the appropriate row of the Housing Fringe Benefits Value Table.
Step 2. Work out the type of accommodation and go to the appropriate column in the Table: the number where the row and column intersect is the weekly market rent of the unit of accommodation.
If the person is a member of a couple, the weekly market rent is to be halved in certain circumstances (see subsection (4)).
Step 3. Work out how many complete weeks in the appropriate tax year the unit of accommodation was or will be available to the person.
Step 4. Multiply the weekly market rent of the unit of accommodation and the number of weeks obtained in Step 3: the result is the provisional value of the housing fringe benefit.
Step 5. Work out the allowable rent for the unit of accommodation in the appropriate tax year using subsection (3).
If a person is a member of a couple, the allowable rent is to be halved in certain circumstances (see subsection (4)).
Step 6. Work out the amount the employer paid or will pay by way of the housing fringe benefits in respect of the unit of accommodation in the appropriate tax year: the result is the employer subsidy.
Step 7. Work out the amount (if any) by which the allowable rent exceeds the employer subsidy: the result is the employee contribution.
If the employer subsidy equals or exceeds the allowable rent, the employee contribution is nil.
Step 8. Take the employee contribution away from the provisional value of the housing fringe benefit: the result is the value of the housing fringe benefit.
The following Table is to be used in working out the value of a housing fringe benefit to which subsection 1157I(5) applies that is provided to a person who is not an employee of the Defence Force:
Housing fringe benefits value table | |||
Location | Type of accommodation | ||
House, flat or home unit | Any other unit of accommodation | ||
3 or more bedrooms | 1‑2 bedrooms | ||
Metropolitan | 140 | 120 | 85 |
Non‑metropolitan | 100 | 90 | 70 |
Special housing | 80 | 80 | 25 |
Outside Australia | 140 | 120 | 85 |
For unit of accommodation, metropolitan location, non‑metropolitan location and special housing location see section 10A.
A housing fringe benefit that is received outside Australia is to be valued (see section 1157B).
For Australia see subsection 23(1).
The allowable rent is the amount of rent that the Secretary is satisfied is payable for the unit of accommodation in the appropriate tax year by:
if the person is not a member of a couple—the person; or
if the person is a member of a couple—the person and the person’s partner.
If:
the person is a member of a couple; and
the person’s partner receives a housing fringe benefit in the appropriate tax year; and
the person’s and the partner’s housing fringe benefits relate to the same unit of accommodation;
the weekly market rent obtained in Step 2 of the Method statement and the allowable rent obtained in Step 5 of the Method statement are both to be halved.
The statute text is free to read above. View subscription options to unlock the case-law research tools for each provision.