Employees who sell or lease automobiles

You can modify the calculation of the standby charge for individuals you employ to sell or lease automobiles if all of the following conditions apply:

• you employ the individual mainly to sell or lease automobiles
• you made an automobile you own available to that individual or to someone related to that individual
• you acquired at least one automobile during the year

You can choose the rate of 1.5% instead of 2% for the automobile's cost to you, and calculate your automobile cost as the greater of the following two amounts:

• the average cost of all new automobiles you acquired in the year to sell or lease
• the average cost of all automobiles you acquired in the year to sell or lease

   

Related links

• Calculating automobile benefits