Document ID: chunk:federal_register_of_legislation:C2004A00844:clause:1_4:p8
Version: federal_register_of_legislation:C2004A00844
Segment Type: clause
Provision Reference: sch 1 cl 4 (pt 8/9)
Character Range: 105163–108293

a software development pool.

 (3) However, an amount of expenditure on *in‑house software can only be allocated to a software development pool if you intend to use the software solely for a *taxable purpose.

 (4) You must create a separate software development pool for each income year for which you incur amounts of the kind referred to in subsection (1).

40‑455  How to work out your deduction

  For all the expenditure on *in‑house software in a software development pool that was incurred in a particular income year (Year 1), you get deductions in successive income years as follows:

Deductions allowed for software development pool
Income year                                       Amount of expenditure you can deduct for that year
Year 1                                            Nil
Year 2                                            40%
Year 3                                            40%
Year 4                                            20%

40‑460  Your assessable income includes consideration for pooled software

 (1) If expenditure on *in‑house software is (or was) in your software development pool, your assessable income includes any amount you derive as consideration in relation to the software.

 (2) However, subsection (1) does not apply if subsection 40‑340(3) (roll‑over relief) applies to the change.

Subdivision 40‑F—Primary production depreciating assets

Guide to Subdivision 40‑F

40‑510  What this Subdivision is about

      You can deduct amounts for capital expenditure on depreciating assets that are water facilities, horticultural plants or grapevines.
      The amount you can deduct is equal to the asset's decline in value during an income year (as measured under this Subdivision).

Table of sections

Operative provisions

40‑515 Water facilities, grapevines and horticultural plants
40‑520 Meaning of water facility and horticultural plant
40‑525 Conditions
40‑530 When a water facility, horticultural plant or grapevine starts to decline in value
40‑535 Meaning of horticulture and commercial horticulture
40‑540 How you work out the decline in value for water facilities
40‑545 How you work out the decline in value for horticultural plants
40‑550 How you work out the decline in value for grapevines
40‑555 Amounts you cannot deduct
40‑560 Non‑arm's length transactions
40‑565 Extra deduction for destruction of a horticultural plant or grapevine
40‑570 How this Subdivision applies to partners and partnerships
40‑575 Getting tax information if you acquire a horticultural plant or grapevine

[This is the end of the Guide.]

Operative provisions

40‑515  Water facilities, grapevines and horticultural plants

 (1) You can deduct an amount equal to the decline in value for an income year (as worked out under this Subdivision) of a *depreciating asset that is one of these:
 (a) a *water facility;
 (b) a *horticultural plant;
 (c) a grapevine.

Note 1: Sections 40‑540, 40‑545 and 40‑550 show you how to work out the decline.

Note 2: Generally, only one taxpayer can deduct amounts for a depreciating asset. However, if you and another taxpayer jointly hold the