Income Tax Assessment Act 1997

CHAPTER 2 - LIABILITY RULES OF GENERAL APPLICATION  

PART 2-25 - TRADING STOCK  

Division 70 - Trading stock  

Subdivision 70-B - Acquiring trading stock  

SECTION 70-25  

70-25   Cost of trading stock is not a capital outgoing  

An outgoing you incur in connection with acquiring an item of *trading stock is not an outgoing of capital or of a capital nature.

Note:

This means that paragraph 8-1(2)(a) does not prevent the outgoing from being a general deduction under section 8-1 .