Page 19 - F6 Slide - VAT Part 4 - Lecture Day 5

Deemed Supply: Fringe Benefits

Intended to reverse portion of the input tax previously

claimed by the vendor.
Not salaries

ONLY applicable to fringe benefits per 7 Schedule to
th

the Income Tax Act.

No deemed supply if the fringe benefit relates to:

 an exempt supply

 a zero-rated supply, or

 the supply of entertainment (e.g. meals)