Document ID: chunk:federal_register_of_legislation:C2024C00267:section:3:p8
Version: federal_register_of_legislation:C2024C00267
Segment Type: section
Provision Reference: s 3 (pt 8/50)
Character Range: 101538–104136

years (which may be zero) before the present income year for which an amount in respect of expenditure was deductible;
 (ii) the number equal to the number of whole years in the estimated life of the petroleum field or proposed petroleum field as at the end of the present income year; or
 (c) for an amount of unrecouped expenditure in respect of expenditure incurred in carrying on eligible quarrying operations the lesser of these:
 (i) the number equal to the difference between 20 and the number of income years (which may be zero) before the present income year for which an amount in respect of expenditure was deductible; and
 (ii) the number equal to the number of whole years in the estimated life of the quarry, or proposed quarry, on the quarrying property, or, if there is more than one such quarry, of the quarry that has the longest estimated life, as at the end of the present income year.
 (4) Sections 40‑95 and 40‑110 of the new Act do not apply to the unrecouped expenditure.
 (5) If either:
 (a) both of these subparagraphs apply:
 (i) any of the unrecouped expenditure referred to in subsection (1) relates to a depreciating asset (the real asset);
 (ii) in an income year (the cessation year) you stop holding the real asset, or stop using it for a taxable purpose; or
 (b) both of these subparagraphs apply:
 (i) any of the unrecouped expenditure referred to in subsection (1) relates to property that is not a depreciating asset (the other property);
 (ii) in the cessation year, the other property is disposed of, lost or destroyed, or you stop using it for a taxable purpose;
there is an additional decline in value of the notional asset for the cessation year equal to so much of the notional asset's adjustable value as relates to the real asset or the other property and has not been taken into account in working out the amount of a balancing adjustment in relation to the real asset.
 (6) If the other property is disposed of, lost or destroyed, or you stop using it for a taxable purpose, you must include in your assessable income:
 (a) if the other property is sold for a price specific to that property—that price, less the expenses of the sale (to the extent the expenses are reasonably attributable to selling that particular property); or
 (b) if the other property is sold with additional property without a specific price being allocated to it—the part of the total sale price, less the reasonably attributable expenses of the sale, that is reasonably attributable to selling the other property; or
 (c) if the other property is lost or destroyed—the amount