Any expenditure is normally disallowed in calculating trading profits unless it is incurred wholly and exclusively for the purposes of the trade (ITTOIA 2005, s. 34; see ¶208-000). A deduction is allowed, however, for certain expenses incurred in connection with travelling abroad for the purposes of the trade (ITTOIA 2005, s. 92). Such expenses will be deductible if the ‘wholly and exclusively’ rule would otherwise be the only bar to them being deductible.
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