Disclaimer You cannot rely on this record in your tax affairs. It is not binding and provides you with no protection (including from any underpaid tax, penalty or interest). In addition, this record is not an authority for the purposes of establishing a reasonably arguable position for you to apply to your own circumstances. For more information on the status of edited versions of private advice and reasons we publish them, see PS LA 2008/4. |
Edited version of private advice
Authorisation Number: 1052017587530
Date of advice: 2 September 2022
Ruling
Subject: Deductibility of service fees
Question
Are the services fees that you incurred in relation to your assessable income deductible under section 8-1 of the Income Tax Assessment Act 1997 (ITAA 1997)?
Answer
Yes.
The services fees that you are charged will be a deduction under section 8-1 of the ITAA 1997 as the expense is incurred in gaining or producing your assessable income.
This ruling applies for the following periods:
Year ending 30 June 2023
Year ending 30 June 2024
The scheme commences on:
1 July 2022
Relevant facts and circumstances
You run a medical practice business.
The service charged is consistent with the ATO guide Your service entity arrangements.
Relevant legislative provisions
Income Tax Assessment Act 1997 section 8-1
Copyright notice
© Australian Taxation Office for the Commonwealth of Australia
You are free to copy, adapt, modify, transmit and distribute material on this website as you wish (but not in any way that suggests the ATO or the Commonwealth endorses you or any of your services or products).