We have seen a number of clients' paying for employees to receive flu injections. We can see the logic in spending a few dollars now to help prevent staff spending time off work sick. These can be provided on site by a nurse, vouchers provided, or employees reimbursed after paying themselves.
The provision of flu injections to staff is a deductible expense to the taxpayer and coded to general or staff expenses. It does not give rise to an FBT liability. The flu injection relates to health and safety, which has an FBT exemption.
Section CX24 of the Income Tax Act 2007 provides that a benefit provided by an employer to an employee is not a fringe benefit if it is "related to the employee's health and safety" and "is aimed at hazard management in the workplace".