Read the full judgment text of CACV 000075/1996 on BabelCite. This Court of Appeal judgment was delivered on 11 July 1996.
1. Are all severance payments, including those made upon the cessation of the employer's business, to be regarded as having been incurred in the production of profits and therefore deductible for the purpose of ascertaining taxable profits? That is the question of law which arises in this revenue appeal. The statutory context and factual circumstances in which it arises are as follows.