For each of the costs listed below, explain whether it is tax deductible. Provide a brief explanation and support your answers with New Zealand taxation statutory provisions and/or case law.

Tech Buzz Limited (“TBL”) is a company that provides electrical services.

The company has incurred the following costs during the year ending 31 March 2021:

1. TBL was granted a $9,000 COVID-19 wage subsidy and this amount was fully paid to the employees. In addition, the company topped up $5,000 to meet the requirement of 80% of normal wage payment to the employees during the lock down period.

2. The company paid a $250 penalty for filing one of its GST returns late.

3. TBL bought a new van recently to replace a work van that was damaged in an accident. The new van cost $62,000.

4. The general manager Jimmy Leung travelled to Christchurch to participate an industrial conference. The company has paid for his airfare and accommodation in Christchurch. The return ticket cost $300 and the accommodation cost $220 per night. The conference lasted for two days but Jimmy stayed in Christchurch for an extra night in order to catch up with his friend John who lives in Christchurch. The company paid $660 for accommodation in total.

5. Paid insurance premium of $12,000 for the period from 1 June 2020 to 30 June 2021.

6. Paid $3,200 for a mid-year function. All of the TBL employees and some representatives of long-term commercial customers were invited to the function.

7. Paid $8,600 to a lawyer to resolve a dispute. This amount is the only legal expenditure incurred during the year.