Lightning 3D Printing Pty Ltd (LP) is in the business of…

Question Answered step-by-step Lightning 3D Printing Pty Ltd (LP) is in the business of… Lightning 3D Printing Pty Ltd (LP) is in the business of manufacturing and selling industrial 3D printers, accessories, and related software technology to businesses in Australia and New Zealand. It has a factory and a research laboratory located in Melbourne. LP is an Australian resident company and is registered for GST. As it is a base rate entity for Australian tax purposes for the income year ended 30 June 2022, its corporate tax rate is 25%. Charlie is 18 years old and Linda Wang’s youngest child. He is not a shareholder or employee of LP. Charlie got his driver’s licence in May 2021.LP granted an interest free car loan of $30,000 to Charlie in June 2021. Linda Wang in her capacity as CEO of LP told Charlie that he must start making monthly repayments of the car loan to LP when he has a full-time job earning an annual income of at least $80,000.Advise LP on the income tax implications in relation to the $30,000 interest free car loan to Charlie and what actions LP may take to minimise any potential adverse tax consequences for the company and Charlie. Accounting Business Financial Accounting ACCT 90016 Share QuestionEmailCopy link Comments (0)