Personal and household expenditure deduction prohibited; only statutory Income-tax Act expenses are allowable when computing taxable income. Personal and household expenditure is not deductible. Only expenses expressly permitted by the Income-tax Act may be claimed as deductions when computing income under the various heads; taxpayers must segregate personal/household outlays from income-producing or business expenses and rely on statutory provisions to determine allowability.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Personal and household expenditure deduction prohibited; only statutory Income-tax Act expenses are allowable when computing taxable income.
Personal and household expenditure is not deductible. Only expenses expressly permitted by the Income-tax Act may be claimed as deductions when computing income under the various heads; taxpayers must segregate personal/household outlays from income-producing or business expenses and rely on statutory provisions to determine allowability.
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