Australia · Employer tax · FBT year to 31 March 2027

FBT calculator.

Enter the taxable value of a fringe benefit to see the grossed-up value, the FBT payable and the amount reported on the employee's income statement.

FBT is 47% of the grossed-up taxable value. A $10,000 type 1 benefit is grossed up by 2.0802 to $20,802, so FBT is $9,777. Type 2 benefits (no GST credit) use 1.8868.

ATO FBT rates and thresholds (updated 20 May 2026)FBT year 1 April 2026 to 31 March 2027Verified October 15, 2026

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The benefit

Work this out using the ATO valuation rules for the benefit type.

Reduces the taxable value.

Your estimate

How the estimate works

For the FBT year 1 April 2026 to 31 March 2027 the ATO lists the same rates as the previous years back to 2023:

ItemRate
FBT rate47%
Type 1 gross-up rate (GST credit entitled)2.0802
Type 2 gross-up rate (no GST credit)1.8868
Reportable fringe benefits thresholdTaxable value above $2,000 in the year
  1. Start with the taxable value of the benefit, valued under the ATO rules for that benefit.
  2. Subtract any contribution the employee paid.
  3. Multiply by the gross-up rate to get the grossed-up taxable value.
  4. Multiply by 47% for the FBT payable.
  5. Reportable fringe benefits for the employee's income statement are always grossed up at the lower type 2 rate, whichever type the benefit is.

Worked example

A type 1 benefit of $10,000: $10,000 × 2.0802 = $20,802; × 47% = $9,776.94. A type 2 benefit of $10,000 with a $2,000 employee contribution: $8,000 × 1.8868 = $15,094; × 47% = $7,094.37.

What this page does not do

Official source: ATO, Fringe benefits tax rates and thresholds (updated 20 May 2026). Retrieved October 2026.

Frequently asked questions

What is the FBT rate for 2026-27?

47%, applied to the grossed-up taxable value of the benefits, for the FBT year 1 April 2026 to 31 March 2027.

What are the type 1 and type 2 gross-up rates?

Type 1 is 2.0802 and applies when the employer is entitled to a GST credit. Type 2 is 1.8868 and applies when there is no GST credit.

What is a reportable fringe benefit?

If an employee's taxable fringe benefits for the year are more than $2,000, the grossed-up amount (always at the type 2 rate) is reported on their income statement.

When does the FBT year run?

From 1 April to 31 March, so this page covers 1 April 2026 to 31 March 2027.

Estimate only

This page is educational and is not tax advice. FBT depends on how each benefit is valued and which exemptions apply; check the ATO guidance or a registered tax agent. Calculations run in your browser; nothing is sent anywhere.

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