Tax Fundamentals – Deductions and Offsets

Upon completion of this training, participants should be able to:

• understand how deductions are relevant for the calculation of taxable income;
• differentiate between the two positive limbs and four negative limbs of s 8-1;
• identify the differences between general and specific deductions;
• explain when a deduction has been ‘incurred’; and
• identify the timing rules that apply to the tax deductibility of certain prepaid expenditure.

The currency of this resource material is at 2 June 2021.