CAP. 112]
Inland Revenue.
[s. 24 cont.] fees and subscriptions are from persons who claim or would be entitled to claim that such sums were allowable deductions for the purposes of section 16, such body of persons shall be deemed to carry on a business, and the whole of its income from transactions both with members and others (including entrance fees and subscriptions) shall be deemed to be receipts from business, and the body of persons shall be chargeable in respect of the profits therefrom.
Deduction of property tax from profits tax.
3 of 1949, s.9.
Certain dividends from assessment of profits excluded.
Deduction of tax from dividends of corporations.
3 of 1949, s.10.
(3) In this section, "members", in relation to a body of persons, means those persons who are entitled to vote at a general meeting of the body at which effective control is exercised over its affairs.
[25]
25. Where property tax is payable for any year of assessment under Part II in respect of any land or buildings owned by a person carrying on a trade, profession or business, any profits tax payable by such person in respect of that year of assessment shall be reduced by a sum not exceeding the amount of such property tax paid by him: Provided that--
(a) no reduction shall be allowed unless either the income from such property has been included in such person's taxable profits or the property is occupied by him for the purposes of his trade, profession or business but not for residential purposes;
(b) where property tax, which would otherwise have been allowed as a deduction, exceeds the amount of the profits tax payable, the excess may be carried forward and offset against the profits tax payable by that person in respect of the next succeeding year of assessment.
[26]
26. For the purposes of assessment the dividends of a corporation, which is subject to tax under this Part, shall not be included in the profits of any other person for the purposes of taxation under this Part.
[27]
27. (1) Every corporation which is registered in the Colony shall be entitled to deduct from the amount of any dividend paid to any shareholder tax at the rate paid or payable by the corporation (as reduced by any relief granted under sections 44 and 45) in respect of the year of assessment.
314