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CTA09/S133D

CTA09/S133D excludes expenses from being relevant compensation expenses where they fall into one of three categories:

• Administrative errors
• Failure of electronic systems
• Loss or damage attributable to an unconnected third party

»Ê¹ÚÌåÓýapp legislation also excludes issues which relate to a single error (CTA09/S133C(2)) where compensation is paid or payable to or for the benefit of one and only one customer. »Ê¹ÚÌåÓýappre is further guidance on this at BKM203500.

»Ê¹ÚÌåÓýapp legislation does not exclude from relevant compensation expenses any amount of compensation which is reduced by an insurance receipt, whether third party or internal to the group. »Ê¹ÚÌåÓýapp gross compensation expenditure should be disallowed in full and the normal rules will apply in considering the tax treatment of the insurance receipt (BIM40750).