Section RD 26 — Income Tax Act 2007: Liability for FBT

RD 26 Liability for FBT Liability (1) An employer who provides a fringe benefit to an employee is liable to pay FBT under sections RD 27 to RD 57 , choosing a method of payment described in subsection (2). Payment options (2) An employer must choose 1 of the following options for the payment of FBT: (a) the single rate option, see section RD 58 ; or (b) the alternate rate option, see section RD 59 ; or (c) if eligible, the close company option, see section RD 60 ; or (d) if eligible, the small business option, see section RD 61 . Election (3) An employer may make an election under subsection (2)(a) or (b) by providing a return setting out the rate chosen. Defined in this Act: business , close company , employee , employer , FBT , fringe benefit , pay , Compare: 2004 No 35 s ND 1(1)–(3)