Document ID: chunk:federal_register_of_legislation:C2025C00029:section:3
Version: federal_register_of_legislation:C2025C00029
Segment Type: section
Provision Reference: s 3
Character Range: 6892457–6896349

3                                                                you make a *forex realisation loss as a result of forex realisation event 4, and:                                                                                                                                                 (a) the forex realisation loss is not deductible under section 775‑30; and
                                                                 (a) the obligation to pay *foreign currency was incurred:                                                                                                                                                                         (b) if:
                                                                 (i) in return for your starting to hold a *depreciating asset; or                                                                                                                                                                 (i) the forex realisation event happens in the income year in which the asset's *start time occurs; and
                                                                 (ii) as the second element of the cost of a depreciating asset; and                                                                                                                                                               (ii) the asset is not allocated to a pool under Subdivision 40‑E or 328‑D;
                                                                 (b) if subparagraph (a)(i) applies—the foreign currency became due for payment within the 24‑month period that began 12 months before the time when you began to hold the depreciating asset (worked out under Division 40); and   the asset's *cost is increased by an amount equal to the forex realisation loss; and
                                                                 (c) if subparagraph (a)(ii) applies—the foreign currency became due for payment within 12 months after the time when you incurred the relevant expenditure                                                                        (c) if:
                                                                                                                                                                                                                                                                                                   (i) the forex realisation event happens in an income year that is later than the one in which the asset's *start time occurs; and
                                                                                                                                                                                                                                                                                                   (ii) the asset is not allocated to a pool under Subdivision 40‑E or 328‑D;
                                                                                                                                                                                                                                                                                                    the depreciating asset's *opening adjustable value for the income year in which the forex realisation event happens is increased by an amount equal to the forex realisation loss; and
                                                                                                                                                                                                                                                                                                   (d) if the asset is allocated to a pool under Subdivision 40‑E or 328‑D—the opening pool balance of the pool for the income year in which the forex realisation event happens is increased by an amount equal to the forex realisation loss.