15.*
| (1) The assessable income of a person for any year of assessment shall be his total statutory income for that year subject to the following deductions: -[* The amendments made in section 15 by subsection (1) of section 9 of Act No. 18 of 1965, other than the amendments made in the aforesaid section 15 by paragraph (f) of sub-section (1) of section 9 of Act No. 18 of 1965, shall be deemed to have come into force on 30th March, 1963- See section 9 (2) of Act No. 18 of 1965.]
| | (a) sums payable by him for the year preceding the year of assessment by way of interest not allowable under section 10 (1) (d), annuity, ground rent, or royalty: | | |
| | (b) the amount of a loss incurred by him during the year of assessment in any trade, business, profession, or vocation, which, if it had been a profit, would have been assessable under this Act: | | |
| | (c) the amount of a loss incurred by him in any trade, business, profession or vocation during any preceding year of assessment commencing on or after the first day of April, 1954, which if it had been a profit would have been assessable under this Act or the Income Tax Ordinance and which has not been so allowed against his statutory income of a previous year: | | |
| | (d) the amount of any loss which has been incurred in any year preceding the year of assessment by any corporation, or undertaking referred to in section 6. | | |
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| (1A) For the purposes of the computation of the loss for the first year of assessment in respect of which any corporation or undertaking becomes liable to income tax, such loss shall be the amount outstanding at the end of the period of six years during which its profits and income are not liable to tax under section 6 after deduction from the profits and income of any succeeding year of assessment during such period of any loss incurred in the immediately preceding year of assessment or the aggregate of the losses incurred in more than one year of assessment during such period. |
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| (2) Any decision of an Assessor in the exercise of any discretion conferred upon him by subsection (i) may be questioned in an appeal against an assessment in accordance with Chapter XII. |
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| (3) Where at any time within the three years of assessment immediately succeeding any year of assessment any person ceases to carry on any trade, business. profession, vocation or employment he shall, on his making an application in that behalf to the Commissioner, be entitled to a deduction from the statutory income for that year of assessment of the amount of a loss incurred by him in that trade, business, profession, vocation or employment in any of those three years which, if it had been a profit, would have been assessable under this Act, and which has not been allowed against his statutory income of any year. For the purpose of allowing that deduction, the assessable income of that person for that year of assessment shall, notwithstanding the provisions of section 103, be revised: |
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| (4) The whole or any part of that amount which in accordance with the provisions of paragraph (h) or paragraph (i) of subsection (1) of section 10 of this Act or the provisions of subsections (5b) and (5c) of section 11 of the Income Tax Ordinance as amended by Act No. 13 of 1959 (and therein referred to as section 9) cannot be deducted from the statutory income of any person for any year of assessment, shall, together with a sum equal to four per centum of that amount, be deducted as far as possible from the statutory income of the subsequent year of assessment, and, so far as it cannot be so deducted, it shall be deducted from the statutory income of the next succeeding year of assessment, and so on. Where under the preceding provisions of this subsection a deduction is made from the statutory income of any of the succeeding years of assessment of such person, such deduction shall consist of the amount or part thereof which could not be deducted from the statutory income of the immediately preceding year of assessment and a sum equal to four per centum per annum of such amount or part thereof. |
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| (5) For the purposes of subsection (1) (b), (c) and (d) and subsection (3), the loss incurred during any year of assessment shall be computed, where the Com- missioner so decides, by reference to the year ending on the day in such year of assessment which would have been adopted under section 12 (2) for the computation of statutory income of the following year of assessment if a profit had arisen. |
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| (6) Where any person has been declared bankrupt or adjudged insolvent by a competent court, no loss incurred prior to the date of bankruptcy or insolvency shall be set off against income arising after such date. |
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| (7) The amount of a loss for the purposes of this section shall be ascertained in the manner provided in this Act for the ascertainment of profits |
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| (8) No deduction under this section shall be allow able except on a claim made in writing by the person assessable, containing such particulars and supported by such proof as the Commissioner may require. |
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| (9) Notwithstanding anything in the preceding provisions of this section, in the case of any individual who is a child and who is in receipt of occupational income, any deduction allowed under this section for any year of assessment commencing on or after April 1, 1965, shall-
| | (a) if such deduction relates to income other than occupational income, be made from such portion of his statutory income as does not consist of occupational income, and | | |
| | (b) if such deduction is not a deduction referred to in paragraph (a) be made from such portion of his statutory income as consists of his occupational income. | | |
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Sri Lanka Consolidated Acts