Question
On 1 April 2017, QP Pty Ltd (QP) purchased a BMW X5 car for $73855, the car was for the exclusive use of Sam, the
On 1 April 2017, QP Pty Ltd (QP) purchased a BMW X5 car for $73855, the car was for the exclusive use of Sam, the associate director. On the day of purchase a rear parking camera was fitted to the car at a cost of $7,000. Between the date of purchase and 31 March 2018, Sam travelled 15,000 kilometres in the car but he did not keep a logbook. QP paid all the expenses except the petrol of $4253 was paid by Sam. The amount was not reimbursed and Sam provided the required declaration to his employer. QP is entitled to claim the input tax credit for GST purposes. Required: Advise the FBT to be paid by QP in relation to the car for year ended 31 March 2018
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