Advise microhard whether the outgoings are deductible

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Taxation Law Assignment Question:

Microhard is a computer software company. Its principal product was a database programme called Xshell.

Microhard decided to expand its products to include a word processing programme that it released under the brand name 'WurdPherfect'.

Soon after the release a competitor [Courelle] sued Microhard for breach of copyright, claiming the name was copied from Courelle's software package. Microhard incurred $500,000 in legal fees and eventually settled the matter on payment of $4m damages.

Required: Advise Microhard whether the outgoings are deductible.

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Reference no: EM131862244

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len1862244

2/14/2018 3:45:34 AM

Instruction: See the Instructions and Assessment Criteria in the Course Description and make sure you follow them! Please answer all parts of the question. You MUST reference in the body of the essay every time you use information from other people. This requires you to keep a track of where you are taking information from and then writing the reference up. You should use the Harvard/APA style. The assignment should not exceed approximately 2500 words. The assignment is worth 30%.

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