Document ID: chunk:federal_register_of_legislation:C2004C00927:clause:1_9:p3
Version: federal_register_of_legislation:C2004C00927
Segment Type: clause
Provision Reference: sch 1 cl 9 (pt 3/3)
Character Range: 216333–217593

deduct.

 The prime cost method calculates your deduction each year as a percentage of your cost.

42-30  Balancing adjustments

 (1) You must make a balancing adjustment calculation for *plant if:
 (a) you have deducted or can deduct an amount for depreciation of it or, if Common rule 1 (roll-over relief for related entities) applied to your acquisition of it, the transferor or an earlier successive transferor deducted or can deduct an amount for depreciation of it; and
 (b) a *balancing adjustment event occurs.

Note 1: However, no balancing adjustment calculation is required if Common rule 1 applies to the balancing adjustment event.

Note 2: A balancing adjustment calculation may include an amount in your assessable income or allow you to deduct an amount. If you are required to include an amount in your assessable income, balancing adjustment relief may be available: see sections 42‑285, 42‑290 and 42-295.

 (2) Balancing adjustments are calculated under:
 (a) Subdivision 42-F; or
 (b) Subdivision 42-G for some *cars; or
 (c) section 42-390 for *plant in a *pool.

 (3) A balancing adjustment event occurs as shown in the table:

A balancing adjustment event occurs:
Item                                  If you are ...              when: