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COVID-19 Vaccination Rewards: Tax Implications

Amidst the current Omicron wave, and the government shortening booster dose intervals, many businesses are encouraging their employees to get either vaccinated or the booster dose by offering rewards or incentives. While this is an effective way to help the employees stay safe and businesses to stay open, there may be some tax consequences involved depending on how the reward or incentive offered. Ordinarily, non-cash benefits provided to the general public are not subject to FBT, while non-cash benefits provided exclusively to employees may be.