13 Dec 1995
Wharf Properties Limited v. Commissioner of Inland Revenue
- Citation
- Wharf Properties Limited v. Commissioner of Inland Revenue
- Court
- Court of Appeal
- Case number
- CACV204/1994
Interest payable on money borrowed to acquire a redevelopment site constitutes expenditure of a capital nature under s17(1)(c) of the Inland Revenue Ordinance and is not deductible under s16(1)(a); characterization of interest requires inquiry into the purpose for which the loan was obtained; interest becomes deductible only when the asset is completed or actually producing chargeable income.