22. Cash basis accounting

(1)

Under the cash basis of accounting, a person –

(a)

derives an amount when payment is received by or made available to the person; and

(b)

incurs an expense or other amount when it is paid by the person.

(2)

For the purpose of this section, payment received in relation to an amount shall include –

(a)

used on behalf of the person either at the instruction of the person or under any law;

(b)

reinvested, accumulated or capitalised for the benefit of the person;

(c)

credited to an account, or carried to any reserve, or a sinking or insurance fund for the benefit of the person; or

(d)

constructive receipt.

Part II