On 28 April 2020, the Federal Court held that Upfront payments to secure a rent reduction under long term leases were on capital account and not deductible under s 8-1 of the ITAA97. See below for a summary of the case. [Tax Month – April 2020] SIGN UP (free trial) or LOG IN Username:Password:RegisterLost your password? About the author John Morgan John Morgan is a tax specialist lawyer of more than three decades experience now practicing at the Victorian Bar - w: www.FJMtax.com e: f.john.morgan@vicbar.com.au