Income Tax Assessment Act 1997

CHAPTER 3 - SPECIALIST LIABILITY RULES  

PART 3-1 - CAPITAL GAINS AND LOSSES: GENERAL TOPICS  

Division 110 - Cost base and reduced cost base  

Subdivision 110-A - Cost base  

What does not form part of the cost base

SECTION 110-38   Exclusions  

110-38(1)    
Expenditure does not form part of any element of the cost base to the extent that section 26-54 prevents it being deducted (even if some other provision also prevents it being deducted).

Note:

Section 26-54 prevents deductions for expenditure related to certain offences.

110-38(2)    

Expenditure does not form part of any element of the cost base to the extent that it is a *bribe to a foreign public official or a *bribe to a public official.

110-38(3)    

Expenditure does not form part of any element of the cost base to the extent that it is in respect of providing *entertainment.

110-38(4)    

Expenditure does not form part of any element of the cost base to the extent that section 26-5 prevents it being deducted (even if some other provision also prevents it being deducted).

Note:

Section 26-5 denies deductions for penalties.

110-38(4A)    

Expenditure does not form part of any element of the cost base to the extent that section 26-31 prevents it being deducted.

Note:

Section 26-31 denies deductions for travel related to the use of residential premises as residential accommodation.

110-38(5)    

Expenditure does not form part of any element of the cost base to the extent that section 26-47 prevents it being deducted.

Note:

Section 26-47 denies deductions for the excess of boat expenditure over boat income.

110-38(6)    

Expenditure does not form part of any element of the cost base to the extent that section 26-22 prevents it being deducted.

Note:

Section 26-22 denies deductions for political contributions and gifts.

110-38(7)    

Expenditure does not form any part of any element of the cost base to the extent that section 26-97 prevents it being deducted (even if some other provision also prevents it being deducted).

Note:

Section 26-97 denies deductions for National Disability Insurance Scheme expenditure.

110-38(8)    

Expenditure does not form part of any element of the cost base to the extent that section 26-100 prevents it being deducted.

Note:

Section 26-100 denies deductions for certain expenditure on water infrastructure improvements.

110-38(9)    

Expenditure does not form part of any element of the cost base to the extent that a provision of Division 832 (about hybrid mismatch rules) prevents it being deducted.