Court allows self-employed lawyer's 1993-1994 losses as taxable income despite no 1995 result.

The court overturned the tax inspector's decision to deny the taxpayer's losses for 1993 and 1994. Although the taxpayer ceased reporting results in 1995 and the inspector argued the practice was defunct, the court found the taxpayer was still operating as a self-employed lawyer with a reasonable chance of success. Consequently, the losses were recognized as taxable income under Article 6 of the Income Tax Act 1964, reducing the taxable income to zero.