# Forensic Questions — Bounty #05

**Companion file to:** `01-brief.md`

Seven questions. Q4 is the load-bearing. Q7 is the open finder.

## Q1 (easy) — Statutory rate

What is the current statutory formula rate under s 9? Has it changed in recent years?

## Q2 (easy) — Log-book requirement

To use the operating cost method (s 10), what is the minimum log-book period? What must the log book record?

## Q3 (medium) — Base value definition

What does "base value" mean under s 9(2)? Include or exclude: on-road costs, dealer delivery, first-year registration, luxury car tax, GST, extended warranty, floor mats?

## Q4 (load-bearing) — Deemed depreciation and interest under s 11

The engine used a 25% deemed depreciation rate and an 8.77% deemed interest rate. Are those the correct rates for FY2025 FBT year? What is the statutory source of each rate? Have either changed in the last three FBT years?

_(This is where practitioners either know the numbers cold or need TR 2024/D3 or the ATO's FBT rates page. Reviewers should confirm from primary source.)_

## Q5 (medium) — Contribution mechanics

The employee paid $2,000 after-tax. Is that a "recipient's payment" or a "recipient's contribution", and does it matter? Which sub-section governs the reduction?

## Q6 (medium) — Election timing

The taxpayer can only make one election per car per FBT year. When is the election made — at time of return preparation, or does the log-book keeping itself constitute election?

## Q7 (open) — What's missing?

What is not being tested by this brief and worked example?

Candidates:
- The "log book year" vs "non-log-book year" distinction under s 10A (log book is valid for 5 FBT years)
- The reasonable estimate of operating costs where records are incomplete
- Multiple cars provided to the same employee
- Change of car mid-year
- Gross-up rate application (Type 1 vs Type 2)