16. Malcolm Woodchip, a furniture salesman, commences business on his own on 1 April of the current income year. He purchases an existing business and is granted a lease of showrooms. Explain whether, and to what extent, the following outgoings are allowable deductions. 1 April Paid $15,000 premium for a 6-year lease. Paid $600 to a mortgage broker to obtain a loan of the $15,000 at 18% for the 6-year period. Paid $225, one month's interest in advance. Paid $620 to his lawyer to help him set up his business. 1 May Paid $225, one month's interest in advance. 30 May Paid $1,000 to his daughter Mary, age 24 for assisting him in opening the business. 15 June Paid $100 towards June interest and promised to pay the remaining $125 plus July interest on 1st July. 16. Malcolm Woodchip, a furniture salesman, commences business on his own on 1 April of the current income year. He purchases an existing business and is granted a lease of showrooms. Explain whether, and to what extent, the following outgoings are allowable deductions. 1 April Paid $15,000 premium for a 6-year lease. Paid $600 to a mortgage broker to obtain a loan of the $15,000 at 18% for the 6-year period. Paid $225, one month's interest in advance. Paid $620 to his lawyer to help him set up his business. 1 May Paid $225, one month's interest in advance. 30 May Paid $1,000 to his daughter Mary, age 24 for assisting him in opening the business. 15 June Paid $100 towards June interest and promised to pay the remaining $125 plus July interest on 1st July