Finance Act, 1979
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Amendment of section 318 (option to treat capital allowances as creating or augmenting a loss) of Income Tax Act, 1967. |
19.— Section 318 of the Income Tax Act, 1967 , is hereby amended by the substitution for subsection (1) of the following subsection : | |
“(1) Subject to the provisions of this Chapter, any claim made under section 307 for relief in respect of a loss sustained in any trade in any year of assessment (hereafter referred to as ‘the year of loss’) may require the amount of the loss to be determined as if an amount equal to the capital allowances for the year of assessment for which the year of loss is the basis year were to be deducted in computing the profits or gains or losses of the trade in the year of loss and a claim may be so made notwithstanding that, apart from those allowances, a loss had not been sustained in the trade in the year of loss.”. |