Mary, the vice president in charge of marketing, is provided with a Lexus that the Company has purchased for $78,000. During the current year, this car was driven a total of 25,000 kilometers, of which 18,000 kilometers were employment related. Operating costs for the year amounted to $3,500 and the car was used by Mary throughout the year. Mary paid the Company $200 per month for the use of the car. Calculate the minimum 2020 Taxable benefit for the automobile.

Mary, the vice president in charge of marketing, is provided with a Lexus that the Company has purchased for $78,000. During the current year, this car was driven a total of 25,000 kilometers, of which 18,000 kilometers were employment related. Operating costs for the year amounted to $3,500 and the car was used by Mary throughout the year. Mary paid the Company $200 per month for the use of the car. Calculate the minimum 2020 Taxable benefit for the automobile.

PAYROLL ACCT.,2019 ED.(LL)-TEXT

19th Edition

ISBN:9781337619783

Author:BIEG

Publisher:BIEG

Chapter5: Unemployment Compensation Taxes

Section: Chapter Questions

Problem 14PB

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