The time at which VAT is payable to SARS or refundable to the enterprise (VAT vendor) depends on the type of VAT accounting basis chosen by a vendor. The accounting basis determines the time or period of supply for VAT purposes. You are required to explain the two types of VAT accounting bases available to South African taxpayers. (12) 3.2. Satish has had the right to use a vehicle with a retail market value of R741 000 since 1 March 2021. The vehicle was leased by his company at a cost of R15 000 per month. Satish has traveled 21 000 kilometers and the logbook shows that 11 000 kilometers of that were for business. The company paid a fuel bill of R2 500 per month. 

Calculate the amount that Satish should include in his taxable income for the right of use of the vehicle for the 2022 year of assessment.

Answer rating: 100% (QA)

ANS WER Assuming that the vehicle is used solely for business pu... View the full answer