The proposed FBT system classifies vehicles into three categories based on their usage: 1. Predominantly Private Use: Description: Vehicles available for unrestricted personal use. FBT Rate: 100%. 2. Predominantly Business Use with Restricted Private Use: Description: Vehicles primarily for business purposes, with limited personal use such as commuting. FBT Rate: 35%. 3. Solely Business Use: Description: Vehicles used exclusively for business, with insignificant personal use. FBT Rate: 0%. Impact Analysis Sales Staff Vehicles: Current Use: Fleet consists of petrol, diesel, hybrid, and electric cars for sales staff, likely falling into Category 1 due to the availability of private use each day, as they are primarily for business with commuting as private use. Therefore there is no change, it still taxable at 100%. In terms of the van, it fall under category 3 as they solely used for business purposes. They still exempt under this rule. Service Staff Vans:e: Primarily business-focused use: Likely to be classified as Category 3. As such, the 0% FBT rate is advantageous, minimizing tax liability. s