BTF3931 Study Guide - Final Guide: Improper Conduct, Interest Expense, Dmg Media
6 Aug 2018
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Deductions (general deductions) (general deductions) part 1 (w9) The main provision that provides taxpayers a deduction for an expense is the general deduction provision. Section 8-1 has the potential to apply to any taxpayer: a loss or outgoing (i. e. an expense) may, be deductible under s8-1 a(cid:374)d a spe(cid:272)ifi(cid:272) p(cid:396)o(cid:448)isio(cid:374). 10: not quality for deductions under a specific provision. Section 8-1 applies to both a loss and outgoing: Loss: depletio(cid:374) of a ta(cid:454)pa(cid:455)e(cid:396)"s financial position: charles. & hayley v fct (1958: occasion of the expenditure test. Courts have considered whether the occasion of the expenditure arises out of income-producing activities: fct v payne (2001) and fct v day (2008: re(cid:395)ui(cid:396)es a(cid:374) a e ment as to (cid:449)hat is productive of the ta(cid:454)pa(cid:455)e(cid:396)"s assessa(cid:271)le i(cid:374)(cid:272)o(cid:373)e. If the nexus between the expense and the production of assessable income is too remote = it is not. Some cases exist where it is questionable as to whether a nexus can be established, for example:
