Page 32 - Taxation F6

Specific Deductions

• Restraint of trade

• A payment to a natural person by a taxpayer from

his trade as a compensation for a restraint of

trade is deductible.

• The deduction is spread over a period.

• The deduction is equal to :

• The restraint of trade paid/by number of years

which the restraint applies limited to 1/3.

• Example(page 157)

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