Josette is an advertising manager for Hightown Pty Ltd, (Hightown) a large importer and distributor of exclusive designer handbags. Her work requires her to drive to various photoshoots and campaign launches which occur at several places all over greater Sydney.

On 15 April 2022, Hightown leased a new car costing $87,000 (GST inclusive). Total lease payments in the first year are $7,800.

The car was garaged at Josettes house most nights and she was permitted to use the car for personal trips.

The particulars for the year regarding the car and for which invoices are retained, including a log book, include:

Stamp duty $950

Registration & Insurance $1,500

Service and Maintenance $900

Petrol and oil $2,500

Total kilometres travelled (as per log book) 55,000 kms

Home to work and personal travel 20,000

Josette paid $3,000 for repairs to the car which she incurred when she reversed into a pole at her local shopping centre. She did not seek reimbursement for these costs from Hightown.

Required: Advise about the fringe benefits tax liability for the current FBT tax year.

Your answer should show relevant calculations and be clearly supported by

references to relevant legislation, case law or tax rulings