Fringe Benefit Monetary Value Fringe Benefit Expense

A. HOUSING PRIVILEGE
1. Employer leased properties for employee’s use 50% of the Rental 100% Rental + FBT
2. Employees used Employer-owned properties 50% x 5% x FMV FBT
3. Employer buys property in installment and let 50% x 5% x AC FBT
employees use the same
4. Transfer to Employee of Employer’s property Higher of Cost or FMV GUMV
5. Transfer to Employee of Employer’s property at less FMV-SP FBT
than the acquisition cost
B. EXPENSE ACCOUNT
6. Employee’s expenses paid by the employer Amount paid by the employer GUMV
7. Amounts reimbursed by the Employer Amount reimbursed GUMV
C. MOTOR VEHICLE
8. Employer buys vehicle in the name of the employee Cost GUMV
9. Employer gives employee cash to buy vehicle Cash Received GUMV
10. Employer shoulders portion of cost Amount Shouldered GUMV
11. Employer purchases vehicle on installment in the AC/5 GUMV
name of the employee
12. Employer lets employee use employer-owned 50% x AC/5 FBT
vehicle
13. Employer lets employee use employer-leased 50% of Rentals 100% Rentals + FBT
vehicle
14. Employer lets employee use employer-owned yacht AC/20 FBT
15. Use of aircrafts or helicopters owned and NOT SUBJECT NONE
maintained by the employer
D. HOUSEHOLD EXPENSES
16. Salaries of household help, driver, etc. Total Salaries GUMV
17. Payment for the other similiar expenses like Total Amount Paid GUMV
association dues, garbage dues, etc.
E. Less Than Market Rate Interest on 12%-Actual Interest FBT
F. EXPENSES FOR FOREIGN TRAVEL
18. No documentary evidence that the foreign travel Amounts shouldered by the GUMV
was in connection with the business meeting or employer
convention
19. There is documentary evidence that the foreign
travel was in connection with the business meeting
or convention: Total Expenses
a. Business Class or Economy Class Exempt
b. First Class Ticket 30% +
c. Lodging Expenses Exempt
d. Foods, Beverages, and Transportation $300 / day – exempt FBT
Excess – 100%
G. Holiday and Vacation Expenses 100% GUMV

H. Educational Assistance
20. Education of employee UNLESS education is Amount paid by the Employer GUMV
connected with the Employer’s business amd
Employee is obligated to remain in the employ of
the Employer for a certain period of time
21. Education of Employee’s Dependents UNLESS Amount paid by the Employer GUMV
assistance is provided thru a competitive scheme
under a scholarship program of the employer
I. Cost of Insurance Borne by the Employer for Premiums paid or GUMV
the Employee contributions paid by the
Except contribution is pursuant to existing laws Employer
(SSS, GSIS. PHILHEALTH), or if the employer is
paying for group insurance of the employees

FRINGE BENEFIT TAX GUIDE