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The Disco Biscuit Company is a resident company that owns and operates a car dealership. During the year, the company has provided the use of

The Disco Biscuit Company is a resident company that owns and operates a car dealership. During the year, the company has provided the use of a car to a number of people. The details are shown below. For each of the below transactions, explain by referencing to legislation and case laws applicable whether the provision of the vehicle represents a fringe benefit.

  1. Mary, the wife of Damon who is a salesperson of the company, received a car to use.
  2. Gabby operates the business of providing an advertising consulting services to clients. The Disco Biscuit Company gives Gabby the use of a Mercedes for her services provided to it instead of paying a fee for her service upon their mutual agreement.
  3. Nigel, a salesperson, receives the use of a Lexus, a luxury car.
  4. Tristan, the managing director, is given the use of a Jaguar (car) instead of receiving a directors fee.

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