Document ID: chunk:federal_register_of_legislation:C2025C00029:section:3:p15
Version: federal_register_of_legislation:C2025C00029
Segment Type: section
Provision Reference: s 3 (pt 15/54)
Character Range: 1123914–1126492

(b) there is an amount of *undeducted construction expenditure for your area; and
 (c) you were using your area in the way that applies to it under Table 43‑140 (Current year use) immediately before the destruction or, if not, neither you nor any other entity used your area for any purpose since it was last used by you in that way.
 (2) The deduction is allowable in the income year in which the destruction occurs, and is calculated under section 43‑250.
Note: The effect of this provision is to allow you to deduct an amount in the income year in which the capital works are destroyed for all of your construction expenditure that has not yet been deducted. However, you must reduce the deduction by any insurance and salvage receipts.

43‑45  Certain anti‑avoidance provisions
  These anti‑avoidance provisions:
 (a) section 51AD (Deductions not allowable in respect of property under certain leveraged arrangements) of the Income Tax Assessment Act 1936;
 (b) Division 16D (Certain arrangements relating to the use of property) of Part III of that Act;
apply to your deductions under this Division for an asset as if you were the owner of the asset instead of any other person.

43‑50  Links and signposts to other parts of the Act

Links
 (1) No part of a *pool of construction expenditure can be a deduction, or taken into account in working out the amount of a deduction, under a provision of this Act other than this Division.
 (2) No part of an amount incurred by an entity in acquiring capital works for which there is a *pool of construction expenditure can be a deduction, or taken into account in working out the amount of a deduction, under a provision of this Act other than this Division.
 (3) You will be taken not to be the owner of any part of capital works that are the subject of a lease to which you have chosen to apply section 104‑115 (CGT event F2). The lessee or sublessee will be taken to be the owner of that part.
Note 1: Choosing to apply section 104‑115 results in the lease being treated for CGT purposes more like an outright disposal.
Note 2: See subsection 43‑180(3) for the effect of the rule in subsection (3) of this section on the need to own 10 apartments, units or flats in an apartment building.

Signposts
 (6) There are special record‑keeping rules that apply to this Division in subsection 262A(4AJA) of the Income Tax Assessment Act 1936.
 (7) Your deductions under this Division may be reduced if any of your commercial debts have been forgiven in the income year: see Subdivision 245‑E.
 (8) Where you have had a deduction under