Page 8 - Non-residence taxation

General Deductions – Court Cases

6.3.1. Recurring expenditure where benefits ceases

if expenditure not incurred = revenue

7. s23(g)

7.1. Warner Lambert: Social responsibility expenditure - if

condition for carrying on trade - then in production of

income

7.2. Scribante Construction (Pty) Ltd - Borrowing to enable

the company to earn income, with loans subsequently used

for the purposes of trade makes the interest paid on the

loans 'in the production of income' and therefore deductible.

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