On 1 April 2016 Tom Jackson was provided with a new Honda CRV by his employer Webster Pty Ltd, a computer retailer, as part of his salary package….
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On 1 April 2016 Tom Jackson was provided with a new Honda CRV by his employer Webster Pty Ltd, a computer retailer, as part of his salary package. The car was leased by the employer. The market value of the car was $35,000. The running costs of the car including lease payments was $1,085 per month. During the FBT year ended 31 March 2017, it travelled 19,000 km, of which half were for business purposes. Tom was expected to contribute $ 195 per month towards the running costs of the car. Required: calculate the FBT payable by Webster Pty Ltd, using the statutory formula method and the operating cost method.
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