Commonwealth Consolidated Acts

INCOME TAX ASSESSMENT ACT 1997 - SECT 26.5

  (1)   You cannot deduct under this Act:

  (a)   an amount (however described) payable, by way of penalty, under an * Australian law or a * foreign law; or

  (b)   an amount ordered by a court to be paid on the conviction of an entity for an offence against an * Australian law or a * foreign law.

  (2)   This section does not apply to an amount payable, by way of penalty, under Subdivision   162 - D of the * GST Act.

Note:   See paragraph   25 - 5(1)(ca) for the deductibility of penalties that arise under Subdivision   162 - D of the GST Act.