Is it more beneficial getting a company car or a car allowance of $1000 per month? Fuel paid for by company for both options.

Hi KJ,
This would depend heavily on the rest of your remuneration package and what the car is used for. From a lenders perspective the company car would be more beneficial as you don't have a debt in your name (unless it's novated) meaning you could have better borrowing capacity for the future.
Speak to your accountant to understand the tax and fringe benefit implications on your total income
Cheers
Scott

Hi KJ

Getting a company car has no tax implication for you as it the company that deals with the Fringe Benefit Tax (FBT) issues.

Getting a car allowance has tax implications as you will need to include the allowance as income and then claim a deduction against it for work related percentage of the out of pocket expenses incurred. If the allowance is more than the usage, then you will have to pay tax on the difference.

For simplicity of your tax affairs it would be best to take the company car but quite a few employees do not take this option as they want to drive their own car around.

Regards

Suresh Rajani