Document ID: chunk:federal_register_of_legislation:C2025C00029:section:12:p12
Version: federal_register_of_legislation:C2025C00029
Segment Type: section
Provision Reference: s 12 (pt 12/34)
Character Range: 5106277–5108874

under Division 40.
 (6) You must make that choice for the first income year for which you are a *small business entity and you choose to use this Subdivision. Once you have made the choice for an asset, you cannot change it.

No re‑allocation
 (7) Once a *depreciating asset is allocated to your *general small business pool, it is not re‑allocated, even if you are not a *small business entity for a later income year or you do not choose to use this Subdivision for that later year.
Note: If you chose to use this Subdivision for an income year, you continue to use it for your general small business pool for a later income year even if you are not a small business entity, or do not choose to use this Subdivision, for the later year: see section 328‑220.

328‑190  Calculation
 (1) You calculate your deduction for your *general small business pool for an income year using this formula:
Note: You use section 328‑210 instead if the pool has a low pool value.
 (2) Your deduction for each *depreciating asset that you start to use, or have *installed ready for use, for a *taxable purpose during an income year for which you are a *small business entity and choose to use this Subdivision is 15% of the *taxable purpose proportion of its *adjustable value.
 (3) You can also deduct for an income year for which you are a *small business entity and choose to use this Subdivision the amount worked out under subsection (4) for an amount (the cost addition amount) included in the second element of the *cost of a *depreciating asset for that year if you started to use the asset, or have it *installed ready for use, for a *taxable purpose during an earlier income year.
Note: The second element of cost is worked out under section 40‑190.
 (4) The amount you can deduct is 15% of the *taxable purpose proportion of the cost addition amount.
Note: The amounts that a transferor and transferee can deduct under this section are modified if roll‑over relief under section 40‑340 is chosen: see sections 328‑243 and 328‑247.

328‑195  Opening pool balance
 (1) For the first income year for which you are a *small business entity and choose to use this Subdivision, the opening pool balance of your *general small business pool is the sum of the *taxable purpose proportions of the *adjustable values of *depreciating assets allocated to the pool under subsection 328‑185(3).
 (2) For a later income year, the opening pool balance of your *general small business pool is that pool's *closing pool balance for the previous income year, reduced or increased by any adjustment required under section