Vehicle Lease Payments - Tax Deductibility and FBT

Question

One of our clients wishes to lease a car via an operating lease through a company. Is the company able to claim the car lease payments as a deductible expense? I assume FBT would still need to be paid on this car?Please advise.

Answer

The company would be able to claim the rental payments as a deductible expense and FBT would apply as well.