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nybizness(Newbie)Newbie
28 Sept 2023

We'd like to issue a $15 digital voucher every Tuesday & Thursday that can only be redeemed during work hours and at local retailers. The staff would redeem this voucher on an order-ahead app, pick up their food and bring it back to the office during their break. This is because it is difficult to cater to 200 people and the different dietary requirements etc, this allows them to have a bit more choice.


We can do this through a specific order-ahead app, where they can gate the vouchers to only work at nearby retailers to the office and the vouchers/credits do not build up, if it isn't redeemed during the set time, they expire.


We are charged at the end of the month for the amount redeemed during the month by our employees.


If the employee has a $20 order for example, they will have to add a credit card to the app and pay the remaining, as the voucher/credit is for $15, not intended for extravagant meals.


The app doesn't really offer alcohol either, plus we have gated the availability anyway, so no one would be drinking or dining out during work hours.

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1 replies
633 views
1 replies

Most helpful response

Most helpful reply

AnitaATO(Community Support)Community Support
29 Sept 2023

Hey @nybizness,


You'll be providing a fringe benefit if all the following apply:


  • You provide food, drink or recreation to your employees or their associates (such as their families).
  • The food, drink or recreation is considered entertainment.
  • The entertainment is not an exempt benefit.

In your scenario you'll need to determine if the benefit your providing is for entertainment purposes. So, if it's provided to the employees in the following circumstances then its less likely to be entertainment and will be exempt from FBT.


  • it's provided so the employees can complete the working day in comfort.
  • it's light food and refreshments, no alcohol
  • if it's provided during work time
  • if it's provided on your premise or the employees usual place of work

You may also like to read more about entertainment-related fringe benefits on our website.


All replies

Most helpful reply

AnitaATO(Community Support)Community Support
29 Sept 2023

Hey @nybizness,


You'll be providing a fringe benefit if all the following apply:


  • You provide food, drink or recreation to your employees or their associates (such as their families).
  • The food, drink or recreation is considered entertainment.
  • The entertainment is not an exempt benefit.

In your scenario you'll need to determine if the benefit your providing is for entertainment purposes. So, if it's provided to the employees in the following circumstances then its less likely to be entertainment and will be exempt from FBT.


  • it's provided so the employees can complete the working day in comfort.
  • it's light food and refreshments, no alcohol
  • if it's provided during work time
  • if it's provided on your premise or the employees usual place of work

You may also like to read more about entertainment-related fringe benefits on our website.


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Are digital meal vouchers subject to FBT | ATO Community