Melbourne University Book Shop
Description
Staff have the option to salary sacrifice for vouchers which can be used to purchase books and other goods at the Melbourne University Book Shop.
The Bookshop is located on campus on the ground floor of the Baillieu Library Building. Apart from books it also sells stationery, software, calculators, music CDs, scientific instruments and computer peripherals.
The Vouchers must be used to purchase goods. They cannot be redeemed for cash or used to pay accounts.
What is allowable?
Staff can salary sacrifice for a voucher to be used in the Book Shop.
The voucher must be for a minimum amount of $50 and can be in multiples of $50 ($50, $100, $150 etc). If you wish to purchase the full amount available ($667) this can be done in only one purchase.
The taxable value of the benefit is 75% of the voucher’s value. Staff can sacrifice for vouchers up to the value of $667 per FBT year, provided they do not salary package for any other in house benefits in that FBT year (refer to the next section).
Taxation issues / status
The provision of vouchers for the Book Shop is classified as an in-house benefit for tax purposes.
The ATO allows the taxable value of in house benefits to be reduced by up to $500 per annum (FBT year) per employee. This means that staff can salary sacrifice in house benefits up the value of $500 per year and pay no FBT on the benefits. The $500 is the taxable value which in most cases is 75% of the benefit price, this allows staff to have benefits with a face value of $666.
The University offers a number of in-house benefits (MTC subscriptions and membership of AsiaLink and Ian Potter). Staff must not exceed the $500 limit to be eligible for the FBT exemption.
All applications for salary sacrificing in-house benefits will be assessed against the $500 threshold before approval. Claims in excess of this amount will be returned to the employee.
Substantiation Documentation
No substantiation is required.
Form of Payment
The value of the vouchers will be deducted from your salary. Staff have the choice of this being deducted in the next available pay or over the next 4 pay periods if requested.
Package Cost
The cost of the vouchers. There is no administrative charge to the employee.
Other Information
Contact the Melbourne University Book Shop on 8344 4088 or http://www.bookshop.unimelb.edu.au.
How to Apply
Apply by completing the In House Benefit salary packaging HR 32IH form and send it directly to:
Salary Packaging Coordinator
3rd Floor,
Raymond Priestley Building.
The form will be checked and processed in HR, and then sent to the Book Shop for voucher allocation. The Book Shop will contact staff to advise when vouchers are available for collection or postage.