Let's say I've been charged interest penalties on late payment of installments due to creditors. Is this deductible for tax purposes (in computing business income)?Yes, it is, just as with interest on lines of credit or other loans.As long as these interest charges are for late payments due to creditors other than Income Taxes or any provincial/federal taxes then yes you can deduct those charges. The only interest charges/penalties that cannot be deducted are those that federal/provincial government charge on outstanding tax arrears etc.#If you have any other info about this subject , Please add it free.# |
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January 9, 2009 | kpbk.com | edit
