1. A motor vehicle was purchased on 31 January 2023 for R168 500 to be used by the managing director. The managing director had the sole use of this motor vehicle and the company bears the full cost of any repairs and maintenance.

Discuss, with supporting calculations, the VAT consequences for Letsatsi (Pty) Ltd arising from the above transaction. Note: Remember to discuss both input and output tax implications as well as the time and value of the supply