14 September Car Allowance Tax Exemption for REEF Members 2021-2022 September 14, 2021 By Reef Admin Allowances 0 REEF's application to the Australian Tax Office for an exemption from the requirement for members to deduct tax from award-based car allowances paid to employees has again been granted for the 2021-2022 financial year. This is an application REEF makes each year to the ATO so that members can provide their employees with the relevant award-based car allowance without deducting tax. Employees may still request to have tax deducted from their motor vehicle allowance and employers should accommodate such requests. Many employers mistakenly believe that this allowance is provided automatically without the deduction of tax. This is not the case. Without REEF's variation authorised by the ATO, the car allowance is effectively assessable income to the employee and subject to tax. It is then a matter for each employee to claim a deduction for their actual motor vehicle expenses in their annual tax return. Importantly, this variation only applies to financial members of REEF. Agencies that are not members of REEF are unable to rely on this variation. Related REEF President gives annual report at AGM At the recent AGM, REEF President Fred Andriessen presented his first annual report to members and shared some of REEF's big wins during 2016. REEF President gives 2017 annual report at AGM At the recent AGM, REEF President Fred Andriessen presented his annual report and provided a snapshot of just some of the activities REEF has been involved in over the course of 2017. Car Allowance Tax Exemption 2020/21 REEF's application to the Australian Taxation Office for an exemption from the requirement to deduct tax from an employee's award-based car allowance has once again been granted for the 2020/21 financial year. REEF Treasurer presents financial statements at AGM REEF's audited financial statements for 2016 were presented by Treasurer Paul Byrne at the recent AGM, outlining the achievement of a small surplus. REEF Treasurer presents financial statements at AGM REEF's audited financial statements for 2017 were presented by Treasurer Paul Byrne at the recent AGM, as was the operating report. A message from the CEO: What's happening at REEF It's hard to believe we're halfway through the year. What started as a busy year shows no sign of slowing down. Here's just a few things we've been focused on. Comments are closed.