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Tax Case: Management fee held deductible: BCD Technologies Pty Ltd v Commissioner of Taxation

Published on 01 Jun 06 by "TAXATION IN AUSTRALIA" JOURNAL ARTICLE

The Administrative Appeals Tribunal recently handed down its decision in BCD Technologies Pty Ltd v Commissioner of Taxation. This case dealt with the deductibility of a $1.165m commitment to pay management fees by a taxpayer to a related company, despite the taxpayer only paying a portion of the management fees in the income year concerned and not executing a written contract for the provision of the services until the following income year.

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Julie LING
Julie is a Solicitor with Ambry Legal.
Current at 1 April 2006
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