Salary Packaging

Entertainment

The Entertainment benefit (capped at $2650 effective from 1st April 2017) and is now a General Expense replacing the Exempt Meal Entertainement / Venue and Accommodation benefits which expired on 31st March 2016. 

Entertainment is the food & drink expenses in an entertainement or social setting and Venue / Accommodation expenses.

Read the FAQ - What Are The Changes to Meal Entertainment / Venue Accommodation from  1st April 2016.

Important Note - Entertainment is reportable. This means that the dollar value paid toward this benefit in an FBT year will be reported on your PAYG summary and may affect your obligations including HECS, Child Care Payments etc. 

You are entitled to salary package entertainment expenses up to a capped maximum of $2650 per FBT year (from 1st April 2017) over and above the General Expense threshold limit for your industry sector.  

Package Requirements

Entertainment can only be claimed if you are the person that paid for the meal or venue accommodation and no amount has been reimbursed from another source, i.e. each person paying their share.

The types of expenses you can claim are:

  • Any restaurant meals/alcohol consumed on the restaurant premises including hotels & cafes;
  • The catering costs to a professional firm or reception centre where the sole or dominant purpose is the consumption of food and drink;
  • Take away meals where the business has dine-in facilities;
  • Meals whilst on holiday

Some types of expenses however are typically excluded:

  • Purchases from supermarkets, grocery food stores & bottle shops;
  • Snack foods;
  • Theatre/movie tickets;
  •  Drinks only, where there is no meal consumed
  •  Equipment or seating hire

 Entertainment cannot be claimed where it has been otherwise reimbursed from another source. You will need to either reduce these amounts from your credit card claim or pay the Meal Entertainment benefit by cash. Note: This is regularly audited by the ATO to ensure there is no ‘double dipping’.

Substantiation

Entertainment Pack Facts

Entertainment FAQs