ATO Issues Finalized Guidance on Deductibility and Fringe Benefits Tax Treatment of Travel Expenses for Employees

The Australian Taxation Office (ATO) issued two finalized guidance documents on 11 August 2021 regarding the deductibility and fringe benefits tax treatment of travel expenses for employees:

• Practical Compliance Guideline (PCG) 2021/3 - Determining if allowances or benefits provided to an employee relate to travelling on work or living at a location - ATO compliance approach; and
• Taxation Ruling (TR) 2021/4 - Income tax and fringe benefits tax: employees: accommodation and food and drink e…