ACC30005 Lecture 8: ACC30005 Taxation lec 8
Document Summary
Costs in managing tax affairs and complying with tax laws. Deduction allowable in the year in which the expenditure is incurred itaa97 s25-5. Your tax liability tax means income tax defined in itaa97 s995-1. Taxable income = assessable income less allowable deductions. General deductions that directly relate to deriving assessable income. Itaa97 s8 -1with its 2 positive limbs and 4 negative limbs plus deductions allowed under specific sections itaa97 s8-5(1) Taxpayers allowed deductions for repairs to premises and depreciating assets held or used for the purpose of producing assessable income. Itaa97s25-10what is a repair? involves restoring an asset to its previous condition without changing its character. Replacing a wooden floor in a building with a concrete floor. Repair often involves the replacement of parts of an asset with new parts. Extensive works that constitute the acquisition of a new asset are not repairs.
