Document ID: chunk:federal_register_of_legislation:C2025C00029:section:2:p4
Version: federal_register_of_legislation:C2025C00029
Segment Type: section
Provision Reference: s 2 (pt 4/41)
Character Range: 4242485–4245298

and using the *prime cost method; or
 (b) if subparagraph 250‑15(d)(ii) applies—so much of the amount referred to in paragraph (a) as is attributable to the expenditure referred to in that subparagraph.
 (4) Disregard section 40‑102 in working out the asset's *effective life for the purposes of subparagraph (3)(a)(ii).
 (5) If neither subsection (2) nor subsection (3) applies and an estimate of the value of the asset is recognised for accounting purposes, the end value of the asset is:
 (a) the value of the relevant asset at the end of the *arrangement period that would be recognised for accounting purposes if subparagraph 250‑15(d)(i) applies; or
 (b) so much of the value of referred to in paragraph (a) as is attributable to the expenditure referred to subparagraph 250‑15(d)(ii) if that subparagraph applies.
The end value must not, however, exceed the amount worked out under subsections 250‑155(4) and (5) (amount taken to have been lent).
 (6) If none of subsections (2), (3) and (5) apply to the asset, the end value of the asset is:
 (a) a reasonable estimate of the *market value of the asset at the end of the *arrangement period if subparagraph 250‑15(d)(i) applies; or
 (b) so much of the estimate referred to in paragraph (a) as is attributable to the expenditure referred to in subparagraph 250‑15(d)(ii) if that subparagraph applies.
The end value must not, however, exceed the amount worked out under subsections 250‑155(4) and (5) (amount taken to have been lent).

250‑185  Financial benefits subject to deemed loan treatment not assessed
  A *financial benefit is not included in your assessable income if the financial benefit:
 (a) is *provided to you in relation to the tax preferred use of the asset; and
 (b) is provided directly or indirectly by a *member of the tax preferred sector; and
 (c) is *subject to deemed loan treatment.
The financial benefit is not assessable income and is not *exempt income.

Subdivision 250‑E—Taxation of deemed loan

Table of sections

 Guide to Subdivision 250‑E
250‑190 What this Subdivision is about

Application and objects of Subdivision
250‑195 Application of Subdivision
250‑200 Objects of this Subdivision

Tax treatment of gains and losses from financial arrangements
250‑205 Gains are assessable and losses deductible
250‑210 Gain or loss to be taken into account only once under this Act

Method to be applied to take account of gain or loss
250‑215 Methods for taking gain or loss into account

General rules
250‑220 Consistency in working out gains or losses (integrity measure)
250‑225 Rights and obligations include contingent rights and obligations

The accruals method
250‑230 Application of accruals method
250‑235 Overview of the accruals method
250‑240 Applying accruals method to work out period over which gain or loss is to