QUESTION 3 (15 marks)

Natasha started working as a sales rep for Crazy Shoes Manufactures on 1 August 2021. Natasha checks in at the companys head office each morning but spends most of her time on the road travelling to various clients. Natasha uses her personal motor vehicle to travel to the different clients. Crazy Shoes Manufactures compensates Natasha at a rate of R5.50 per kilometre for her business travel. Natashas motor vehicle cost her R275 000 (including VAT but excluding finance costs) when she bought it on 1 June 2018. Natasha did not record the actual costs she incurred in respect of the motor vehicle during the 2022 year of assessment. Natasha was responsible for the total fuel costs and maintenance costs of her personal motor vehicle. Natasha kept a logbook for her personal vehicle, and the following is a summary of her logbook for the 2022 year of assessment: Opening kilometres at the beginning of the year of assessment 43 858 Closing kilometres at the end of the year of assessment 91 252 Number of kilometres between Natashas house and head office 3 460 Number of kilometres travelling to clients 24 310

REQUIRED: Discuss and calculate the taxable amount of all the travel allowance options available to Natasha and conclude your answer on advising her of the travel allowance received with the greatest benefit for the 2022 year of assessment