Identify and explain 10 allowable deductions according section 15 (2) of the Taxation Income

act:

1.Advertising and Promotion - Expenses incurred for advertising and promoting your
business.Under section 15(2) of the Income Tax Act, businesses can deduct certain expenses
related to advertising and promotion. These deductions can include the costs of creating and
placing ads, as well as other expenses related to promoting a product or service. In order to be
eligible for these deductions, the advertising and promotion must be directly related to the
business. The deduction for advertising and promotion is considered a "current" expense,
which means that it can be deducted in the year in which it is incurred. This is different from
"capital" expenses, which are deducted over a period of years.

2.Salaries and Wages-Payments made to employees for their services.Salaries and wages are
one of the most common types of expenses that businesses can deduct under section 15(2) of
the Income Tax Act. This deduction covers the wages, salaries, and bonuses that a business pays
to its employees. This includes both cash and non-cash payments, such as vacation time and
employee benefits. In order to be eligible for this deduction, the salary or wage must be paid
for services rendered during the tax year. Additionally, the employee must be paid for their
work in a reasonable amount and in a reasonable time frame. If these conditions are not met,
the deduction may not be allowed.

3.Rent and Utilities: Costs associated with renting a business space and utilities used for
business purposes.Rent and utilities are another common type of expense that businesses can
deduct under section 15(2) of the Income Tax Act. This deduction covers the costs of renting or
leasing business premises, as well as the cost of utilities such as electricity, gas, and water. In
order to be eligible for this deduction, the rent or lease must be for a property that is used
exclusively for business purposes. Additionally, the cost of utilities must be directly related to
the operation of the business. For example, if a portion of the business premises is used for
personal purposes, that portion of the rent and utilities cannot be deducted.

4.Office Supplies: Expenses related to purchasing necessary supplies for business

operations.Office supplies are another type of expense that can be deducted under section
15(2) of the Income Tax Act. This deduction covers the cost of items such as paper, pens, and
other