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Octopus Pty Ltd allowed its managing director use of a company car. Details relating to the car for the whole of the current FBT year
Octopus Pty Ltd allowed its managing director use of a company car. Details relating to the car for the whole of the current FBT year are as follows:
Cost (including GST) $40,000
Opening written down value $34,000
Distance travelled during FBT year:
Business 14,000 km
Private 24,000 km
Contribution to by managing director $500
Repairs and maintenance $1,200
Fuel and oil $1,500
Registration and insurance for holding period $1,800
Required: Calculate the FBT payable for the current FBT year under both methods. Show full workings.
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