The ATO has advised that it is reviewing living-away-from-home allowance benefits and believes some employers may be claiming excessive amounts for exempt accommodation and food components.
In April 2011, the ATO will be writing to some employers who are paying this allowance, requesting information for each employee receiving the allowance, including:
- a copy of their Living away from home declaration
- their tax file number
- the amount of salary and wages paid to them
- the total value of the allowance paid to them
- the amount of exempt accommodation and food allowances paid
- the basis used for ascertaining any exempt accommodation and food component amounts.