FBT rate for low-interest loans down

The interest rate used to calculate fringe benefit tax for low-interest, employment-related loans has gone down from 7.98% to 7.83% for the quarter beginning 1 October 2002. The change was approved by Order in Council yesterday.

For more information see the government's media statement.

Hon Dr Michael Cullen
Minister of Revenue

MEDIA STATEMENT

FBT for low-interest loans down

The prescribed rate to calculate fringe benefit tax for low-interest, employment-related loans has dropped from 7.98 percent to 7.83 percent, Revenue Minister Michael Cullen announced today.

The new rate applies from l October 2002.

The rate is reviewed regularly to ensure it is in line with the results of the Reserve Bank's regular survey of first mortgage interest rates.

Contact: Patricia Herbert [press secretary] 04-471-9412 or 021-270-9013. E-mail [email protected]