BA 3301 Lecture 45: business-taxation-notes (dragged) 7
Document Summary
In gaining or producing" = in the course of gaining or producing" amalgamated. Zinc (de bavay"s) ltd v fct (1935) 54 clr 299; 3 atd 288. In" can be interpreted strictly to exclude outlays before or beyond the scope of income producing activities, even though they are required to produce income . It is not necessary to trace, link or match expenditure with an item of income. Test (cid:120) loss or outgoing that is incidental and relevant" to gaining or producing assessable (cid:120) income means that it has the nexus with income production. Incidental consequence of gaining or producing assessable income, but not directly productive of income. (cid:120) relevant dependence of expenditure and production of assessable income. Incidental herald and weekly times ltd v fct (1932) 48 clr 113; 2 atd 169 (cid:120) facts: taxpayer published evening newspaper. Incurred fees for defending and settling action for libel.
