Administration Fee means the administration fee payable in respect of the Salary Packaging Services provided, as determined by your employer.
Australian Consumer Law means Schedule 2 to the Competition and Consumer Act 2010 (Cth).
Business Day means a weekday on which banks are open for business in Melbourne, Australia.
Capped Benefits means any fringe benefit concession or exemption that is subject to an annual ‘cap’, including benefits entitled to concessional treatment as per sections 57A and 65 of the Fringe Benefits Tax Assessment Act 1986 (Cth).
Concessional Contributions Cap has the meaning given to it in Income Tax Assessment Act 1997 (Cth).
Employer Agreement means the agreement for the provision of salary packaging services between SalaryPackagingPLUS and your employer.
FBT Year means the period from 1 April of to 31 March of the next calendar year.
Fringe Benefit and Fringe Benefits Tax have the meanings given to them in the Fringe Benefits Tax Assessment Act 1986 (Cth).
GST has the meaning given to it in A New Tax System (Goods and Services Tax Act) 1999 (Cth).
Pay As You Go (PAYG) Withholding has the meaning given to it in Taxation Administration Act 1953(Cth).
Reportable Fringe Benefits Amount means the total amount of reportable fringe benefits you receive from your employer.
Salary Packaged Amount means the amount of your salary or wages that will be deducted to meet the cost of any Salary Packaged Benefits.
Salary Packaged Benefits means the Fringe Benefits provided to you by your employer and administered by SalaryPackagingPLUS.
Salary Packaging Arrangement means the arrangement between you and your employer where the Salary Packaged Amount is withheld towards your Salary Packaged Benefits.
SalaryPackagingPLUS means Salary Packaging Plus Pty Ltd (ABN 99 109 696 139).
Terms & Conditions means these terms and conditions.
Valid Tax Invoice means a document that contains the following information:
- that the document is intended to be a tax invoice
- the seller's identity and Australian business number (ABN)
- the date the invoice was issued
- a brief description of the items sold, including the quantity (if applicable) and the price
- the GST amount (if any) payable, shown separately or, if the GST amount is one-eleventh of the total price, as a statement such as ‘Total price includes GST’
- the items on the invoice where GST in include and the items that are GST free, is in English for sales of $1,000 or more, the buyer’s identity, including their name and address
2. Changes to your Salary Package
- You agree to review all communications provided to you by SalaryPackagingPLUS and to promptly notify SalaryPackagingPLUS of any errors or changes required, including, but not limited to, packaging amounts being deducted (or not deducted), scheduled payments, bank account details, and vehicle data.
- To the extent permitted by law, including the Australian Consumer Law, you acknowledge that SalaryPackagingPLUS will bear no loss or any responsibility resulting from any data entry errors where a confirmation report containing information indicating those errors was issued, and you were given sufficient opportunity to identify and notify SalaryPackagingPLUS of those errors.
- You acknowledge that SalaryPackagingPLUS can make certain changes to your Salary Packaging Arrangements, as instructed by you over the telephone, without any requirement for the change to be confirmed in writing.
You agree to advise SalaryPackagingPLUS of any change in circumstances that may impact on your Salary Packaging Arrangements, including, but not limited to:
- changes to your Salary Packaged Benefits
- changes to your personal details, including banking details
- changes to your employment, including any periods of unpaid leave (prior to taking leave)
- termination of your employment
3. Payments to and from SalaryPackagingPLUS
- You acknowledge that your employer will pay SalaryPackagingPLUS the amounts withheld for your Salary Packaged Benefits as necessary to allow SalaryPackagingPLUS to administer your Salary Packaging Arrangement.
- Where you request an amount from your salary to be deducted for a specific benefit in a pay period and this amount exceeds your salary for that pay period, no deduction will be guaranteed. SalaryPackagingPLUS is not required to make payments for benefits forming part of your Salary Packaged Benefits if there are insufficient funds provided by your employer for this (or any other) reason.
- SalaryPackagingPLUS will not be liable or responsible for any associated loss, including penalties, interest or other charges payable due to any delay in payment resulting from insufficient funds.
- You acknowledge that any funds paid to SalaryPackagingPLUS are held on behalf of your employer and are not held on your behalf or on trust for you.
4. Suspension for non-payment
- If you or your employer fails to make any payment due to SalaryPackagingPLUS, SalaryPackagingPLUS may, with notice to you, suspend your Salary Packaging Arrangement to which that overdue payment relates unless and until all such overdue payments are made to SalaryPackagingPLUS.
- SalaryPackagingPLUS charges Administration Fees for its role in administering your Salary Packaging Arrangement. To the extent your employer chooses to pass on the Administration Fee/s to you as an additional salary packaged item, you agree to allow SalaryPackagingPLUS to deduct this from the Salary Packaged Amount. If you commence your Salary Packaging Arrangement partway through the FBT year and choose to maximise the Salary Packaged Amount, you acknowledge that the Administration Fee/s may be increased to the maximum annual amount.
6. Account administration
- If you are eligible to salary package Capped Benefits, SalaryPackagingPLUS does not guarantee that claims lodged after 1st March in any FBT Year will be processed prior to the end of that FBT Year, and as such these claims may be paid out under your Capped Benefit entitlement(s) for the subsequent FBT year.
7. Termination of arrangements or cessation of employment
- You may terminate your Salary Packaging Arrangement at any time by giving written notice to SalaryPackagingPLUS. Subject to your employer’s policy, if you terminate your Salary Packaging Arrangement partway through the FBT Year, the full annual Administration Fee will be payable to SalaryPackagingPLUS.
SalaryPackagingPLUS may terminate your Salary Packaging Arrangement if you:
- knowingly represent that you have met the eligibility requirements for a specific salary packaging benefit when you have not, in fact, met those requirements
- misuse a benefit, or use a benefit in a fraudulent way
- use a benefit in a manner which constitutes a breach of any law
- commit a material breach of these Terms and Conditions
alter the way the arrangements are being administered and SalaryPackagingPLUS determine that the provision of your Salary Packaging Arrangement is no longer compliant with applicable law
- On cessation of your Salary Packaged Benefits, SalaryPackagingPLUS will perform a reconciliation. If there is a credit balance following this reconciliation, this balance will be returned to your employer and paid back to you as assessable income that is subject to PAYG Withholding. If there is a debit balance following this reconciliation, you remain liable for any outstanding amounts owed.
- You will be fully responsible to meet any outstanding commitments from the date of cessation.
If you make an after-tax contribution in excess of the amount required to reduce the FBT value of a Salary Packaged Benefit to nil in a particular FBT year, you acknowledge and agree to the following:
- if the relevant Salary Packaged Benefit continues beyond the FBT Year, the excess after-tax contributions will be rolled over into the new FBT Year such that your post-tax contribution for that FBT Year will be reduced; or
- if the relevant Salary Packaged Benefit does not continue beyond the FBT Year, the excess after-tax contributions will be used to generate an additional tax-free reimbursement to you as part of the reconciliation process
8. Fringe Benefits Tax
- On an annual basis, SalaryPackagingPLUS will perform a reconciliation between the collected Fringe Benefits Tax and the calculated liability to pay Fringe Benefits Tax for each benefit provided to you and will report such results of this to your employer.
Fringe Benefits Tax is calculated using the taxable value of the salary packaged benefit/s minus any post-tax contributions made towards the benefit/s x gross up rate x FBT rate.
Note: capping thresholds apply to organisations that are eligible for a Fringe Benefits Tax exemption. Benefits provided are exempt from FBT if the total grossed-up value of certain benefits (which are benefits that are not otherwise exempt) provided to you during the FBT year is equal to, or less than, the capping threshold. If the total grossed-up value of fringe benefits provided to you is more than the capping threshold, FBT will be payable on the excess.
- You agree to compensate your employer, either by way of additional pre-tax salary deduction or direct payment, for any Fringe Benefits Tax amounts payable in relation to your Salary Packaged Benefits. You authorise SalaryPackagingPLUS to deduct any such FBT amount incurred without your further specific approval.
- Nothing in this clause makes you liable for any Fringe Benefits Tax amounts payable due to a breach of these Terms & Conditions by, or the negligence of, SalaryPackagingPLUS.
- You have a reportable fringe benefits amount if the total taxable value of certain fringe benefits provided to you or your associate exceeds $2,000 in an FBT year. Your employer is required to gross-up this amount up using the Type 2 FBT gross up rate and report it on your payment summary.
- Where the cost of a Salary Packaged Benefit includes a GST amount you acknowledge that SalaryPackagingPLUS will only seek recovery of that GST amount as in input tax credit where you supply a Valid Tax Invoice with respect to the benefit.
10. Record Keeping
- You must keep records of the information provided as part of your application for salary packaging with SalaryPackagingPLUS, or of a claim made pursuant to your Salary Packaged Benefits (including any supporting documents) for five years from the next 31 March immediately following the date you lodge the application or claim. SalaryPackagingPLUS and/or your employer may request additional evidence of the benefits that are part of your existing Salary Packaging Arrangement.
- SalaryPackagingPLUS will not return any original documentation to claimants, including rejected claims.
11. Additional Superannuation Contributions
- SalaryPackagingPLUS will bear no loss or any responsibility resulting from any breach of the requirements by you related to superannuation Concessional Contributions Cap or from any contributions made in excess of the Cap through your Salary Packaging Arrangement. You agree to monitor the requirements for and values of the applicable superannuation Concessional Contributions Cap and make necessary adjustments to your Salary Packaged Benefits in order to comply.
You acknowledge and agree:
- Any amounts that have been salary packaged cannot be claimed as a tax deduction on your income tax return
- Only benefits identified in an approved list of benefits as advised by your employer and SalaryPackagingPLUS may be salary packaged through SalaryPackagingPLUS
- Your Salary Packaging Arrangements do not include the provision of financial or taxation advice to you
- You have sought advice from a suitably qualified person in relation to your decision to engage in salary packaging and select specific Salary Packaged Benefits
- All information provided by you to SalaryPackagingPLUS is true and accurate and where any incorrect bank account information is provided, any bank fees and administration costs resulting from that error will be charged to you
- These Terms and Conditions are updated from time to time by SalaryPackagingPLUS and we will notify you in writing of any substantial amendments. By continuing your Salary Packaging Arrangements, you are deemed to accept these changes and you are bound by the most current version of the Terms and Conditions published on SalaryPackagingPLUS’ website. If you disagree with any such changes to the Terms and Conditions, you can elect to discontinue your Salary Packaging Arrangements
- SalaryPackagingPLUS (and its affiliates) may receive commissions, rebates or other payments or benefits from third party providers of goods and services who provide such goods and services to you as part of your Salary Packaged Benefits
- SalaryPackagingPLUS’ liability is limited in respect of all other loss, damage or injury of any kind whatsoever arising in connection with a Salary Packaging Arrangement
13. Authorisation to SalaryPackagingPLUS
You authorise SalaryPackagingPLUS to:
- Direct your employer to pay additional monies from your salary to SalaryPackagingPLUS by providing you with notice, but without specific authorisation by you, if such additional sums are required in order to pay for costs incurred in providing your Salary Packaged Benefits
- Change the cash and other components of your Salary Packaged Benefits by providing you with notice, but without obtaining specific authorisation from you, so as to ensure that the Salary Packaged Benefits selected are able to be provided and that any of your contributions to the taxable value of a benefit can be satisfied
- At its discretion, adjust your salary deductions in accordance with benefits packaged by direct interface with your employer’s payroll by providing you with notice, but without obtaining specific authorisation from you
14. Governing law and jurisdiction
- The laws of the State of Victoria shall govern these Terms & Conditions and the parties submit to the non-exclusive jurisdiction of the courts of Victoria and the Federal Court of Australia.