A simpler way to calculate fuel tax credits

appears some other countries take a more proactive approach to this problem. Last year the UK Transport Department and the Health and Safety Executive issued a counter-signed letter to all bbusinesses which make or receive deliveries reminding them they have a legal obligation to give drivers easy and safe access to toilets and hand washing facilities to support their health and wellbeing whilst carrying out their important work. The letter noted that preventing access is against the law and that drivers must have access to welfare facilities located in the premises they visit as part of their work. The responsibility in law to provide access rests with the person in control of the premises.

If only our health and safety agency would be similarly proactive. Western Australia’s Health and Safety Regulations require a person having control of the workplace to provide employees reasonable sanitary facilities, convenient access to sanitary facilities; and any other facility if the safety or health of a person working at the workplace would be at risk if the facility were not provided. The definition of ‘sanitary facilities’ includes toilets and washbasins. This obligation extends to contractors as well. The penalty for noncompliance for an individual is $10,000 for a first offence and $12,500 for a subsequent offence. For a body corporate the penalty is $20,000 for a first offence and $23,000 for a subsequent offence. There is no evidence these provisions have ever been enforced. Although there may be a technical argument about the contractual status of a transport company driver at third party sites, the fact remains that if a site owner is obligated to provide facilities for employees and contractors, it is a common sense and practical step to make them available to gaining access to facilities should report it to his employer who should refer it the appropriate industry association. In the LRTAWA’s case we are compiling a list of problem sites and will take the matter up with the owners specifically. We will also be seeking Worksafe’s support to campaign for better access as a duty of care, health and safety issue.

Finally, our industry can sometimes be its own worst enemy. The disregard a minority of drivers show towards facilities when they are provided makes our advocacy for improvements that much harder. Please try to get the message across to the culprits that if we want respect as professionals, we must act that way.

I’m looking forward to the day when we can showcase best practice examples of driver facilities at third party sites.

On a brighter note the LRTAWA annual sponsor’s cocktail party was well attended on the 12th March. Guests enjoyed socialising at the new WA Museum and had a walk down memory lane in an exclusive viewing of the Reflections Gallery. The annual conference/industry day will be held early in the next financial year and we look forward to welcoming our sponsors, members and other interested industry representatives.

a truck driver operating at the site in the same way a visitor would be given access.

It would be nice to think site owners would voluntarily address this issue but past experience suggests this is highly unlikely, so what is the best way of tackling it? Here are a few suggestions.

Any driver that experiences difficulty

The ATO has recently released a simpler way to calculate fuel tax credits for diesel used in heavy vehicles.

If you claim less than $10,000 each year and use a heavy vehicle, you can use the new basic method for heavy vehicles.

The method makes it easier to work out your fuel tax credit (FTC) claim, including your on and off public road use.

As the rate for travel off public roads is higher, you will get more fuel tax credits if you calculate your off public road use correctly.

Travel off public roads includes when you’re idling, loading or unloading your heavy vehicle in warehouses, depots or car parks.

All you need is the distance you’ve travelled and the amount of eligible diesel you’ve acquired for use in the heavy vehicle for the tax period to use the method.

Industry bodies say these changes will greatly assist businesses with calculating their entitlement for fuel used off-road, which is claimable at the higher fuel tax credit rate, but also prevent them from having to use costly GPS based FTC calculators that larger competitors have access too.

“We welcome this move by the ATO and anything that makes it easier for companies to claim their correct amount of FTCs,” said Chris Sant from FTC advisors, Ryan Tax Services.

“Unfortunately, FTCs has become a very difficult issue for trucking clients and companies can rely upon this and sleep at night knowing they are getting their correct entitlement without having to paying extra for it.

“This is clearly the ATO putting their toe in the water. I wouldn’t be surprised if the ATO expand to larger companies. We would welcome this as it would reduce the complexity of the system and allow companies to maximum their entitlement.”

The ATO is expected to publish guidance in respect of the use of GPS data to calculate FTC claims which is expected to alert companies to over-claims being made by trucking companies who’ve relied upon advice of certain GPS providers and advisor firms.

• Use the basic method for heavy vehicles when you lodge your next BAS. Follow the steps on the ATO website at ato.gov. au/basicmethod • If you’ve just started using fuel in your business, check if you are eligible for fuel tax credits on the ATO website at ato.gov.au/ftceligibility.