Shelley recently accepted a job as the district sales manager for a frozen food wholesaler. She was offered the use of a company car for both business and personal use, on the condition that she reimburse the company 8 cents for each kilometre she used the car for personal use.

The operating cost benefit for the year is 27 cents/km. If the company determines that the standby charge is $4,800 and Shelley drives the car a total of 22,000 kilometres for business use and 12,000 for personal use over the course of the year.

What is her taxable benefit for the year?

Answer rating: 100% (QA)

To calculate Shelleys taxable benefit for the year we need to take into account both the standby cha... View the full answer