(1) Deductible expenses shall be losses or expenses (hereinafter referred to as "deductible expenses") incurred by transactions which reduce the net assets of a corporation, excluding return of capital or financing, disposition of surplus funds, and what is provided for in this Act. <Amended on Dec. 24, 2018>
(2) The deductible expenses shall be losses or expenses incurred in connection with the business of a corporation which are generally accepted as ordinary or directly related to profits, except those otherwise prescribed by this Act and other statutes. <Amended on Dec. 24, 2018>
(3) Losses distributed under Article 100-18 (1) of the Act on Restriction on Special Cases concerning Taxation shall be deemed deductible expenses. <Amended on Dec. 24, 2018>
(4) Matters necessary for the scope and types of the deductible expenses and other matters shall be prescribed by Presidential Decree. <Amended on Dec. 24, 2018>[This Article Wholly Amended on Dec. 30, 2010]