Generally, all business expenses are allowed as a deduction, unless specifically disallowed.
The following expense types are not deductible or have limited deductibility for Afghan tax purposes:
- Illegal expenditures
- Donations/ charitable contributions
- Additions to reserves for contingencies (other than bad debts, subject to conditions)
- Personal expenses
- Penalties/ fines
- Taxes on income are not deductible, except Business Receipts Tax (BRT).