(1) In ascertaining the chargeable income for any year of income of any person there is allowed as a deduction from his or her assessable income, upon due claim and subject to such evidence as the Comptroller may require, any amount to which he or she is entitled under this Part.
(2) Where a person is not entitled to any deductions under this Part, his or her assessable income constitutes his or her chargeable income.
(3) The deductions allowable under this Part is allowed after any deductions to which he or she is entitled under Division 2 of Part 5 and in the event of there being an insufficiency of assessable income to permit the allowance in full of any deductions under this Part then such concessional deductions shall be limited to the amount of the assessable income, if any, which remains.
(4) Notwithstanding this Act —
(a) effective from the 1st day of January, 2023 the aggregate allowances and deductions permitted under Parts 6 and 7, excluding the personal allowance and deduction for medical expenses shall not exceed $30,000;
(b) in the case of income years 2023 to 2025 the allowances and deductions excluded from the overall cap of $30,000 are —
(i) the personal allowance,
(ii) the deduction for medical expenses, and
(iii) the expenses relating to the purchase and installation of solar photovoltaic systems or related components.
(Inserted by Act 21 of 2022 and substituted by Act 19 of 2023)