Introduction Overview Overview Section 892: Deduction where failure to make relevant capital payment expected
2641.This section gives relief for bad debts, or debts which are expected to be bad. It is based on section 785E of ICTA.
2642.As section 890 may tax a relevant capital payment before it is received, relief is to be given at the time the lessor reasonably expects that some or all of the relevant capital payment will not be paid. This rule applies whether the payment was due to be made to the lessor or to someone on their behalf.