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Timothy paid a web designer R10 000 to design a website that would enable him to advertise his business and provide information to his current

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Timothy paid a web designer R10 000 to design a website that would enable him to advertise his business and provide information to his current and prospective clients. The web designer also receives R1000 per month to update and maintain the web page. In terms of the deductibility of the expense, Timothy will only be allowed to deduct the R1 000 per month that is paid to the web designer because the R10 000 will be an expense that is considered to be capital in nature. Select one: True False

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