FBT rate on low-interest loans to rise
The prescribed rate used to calculate fringe benefit tax on low-interest, employment-related loans will rise from 9.55% to 9.79% from 1 July 2007, Revenue Minister Peter Dunne announced today.
The rate is reviewed regularly to align it with the results of the Reserve Bank's survey of first mortgage interest rates. It was last adjusted with effect from 1 April 2006.
The new rate was set by Order in Council today.