ACCT2331 Chapter Notes - Chapter 15: Business Travel, Deferral, Income Tax
Document Summary
Individuals are generally required to have written evidence of the following kinds of expenses in order to be able to claim deductions: work expenses, car expenses, business travel expenses. Maintaining records: records must be kept for 5 years, commissioner has discretion to allow a deduction where taxpayer has not complied with substantiation rules. Methods for deducting car expenses: cents per kilometre method, up to 5,000 business kilometres, log book method, *substantiation required. Deductions are expressly denied for: gst, sgc, eccc, ecct and encct, div 293 tax, deductions are also generally allowed for fbt and payroll tax under s 8-1 itaa97. Entertainment expenses (div 32 itaa97: deductions under s 8-1 itaa97 are denied for a loss or outgoing incurred in providing. Exceptions: deferral rule does not apply if adjusted taxable income is less than ,000 and any of following tests are passed, assessable income test assessable income from the business activity exceeds. [15. 8] miscellaneous itaa97 provisions that deny deductions (page 403)
