The provision of a gift to an employee my not attract Fringe Benefits Tax (FBT) provided that the value is less than $300, i.e., that the gift qualifies as an exempt minor benefit - Section 58P of Fringe Benefits Tax Assessment Act 1986 (FBTAA 1986).

However, it is important to note that the $300 will not be available as a tax deduction. Tax deductions for employee gifts are only available to the extent that they are subject to FBT, i.e., if you pay FBT on the benefit, you may also claim the benefit as a tax deduction.