Document ID: chunk:federal_register_of_legislation:C2012A00018:clause:2_10
Version: federal_register_of_legislation:C2012A00018
Segment Type: clause
Provision Reference: sch 2 cl 10
Character Range: 66433–68770

10  Meaning of starting base asset
 (1) Property, or a legal or equitable right that is not property, is a starting base asset relating to an interest in an onshore petroleum project or the North West Shelf project if:
 (a) either of the following existed just before 2 May 2010:
 (i) the production licence relating to the project, or (if the project is a combined project) a pre‑combination project in relation to the project;
 (ii) a retention lease, or exploration permit, from which the project (or pre‑combination project) is derived; and
 (b) on 2 May 2010, the property or right was used, or being constructed for use, in carrying on project activities relating to the project (or pre‑combination project); and
 (c) the look‑back approach is not the valuation approach for the interest under Part 2.
 (2) Despite subclause (1):
 (a) if, under Part 2, the book value approach is the valuation approach for the interest in the petroleum project, the following are not starting base assets:
 (i) rights and interests constituting the petroleum project;
 (ii) mining, quarrying or prospecting information, or rights to such information;
 (iii) goodwill; and
 (b) property, or a legal or equitable right, is not, and is taken never to have been, a starting base asset if:
 (i) a valid choice has not been made under section 3 specifying the valuation approach for the interest; or
 (ii) a valid starting base return that covers the property or right has not been given to the Commissioner.
 (3) If, under Part 2, the market value approach is the valuation approach for the person's starting base assets relating to the interest in the petroleum project, treat:
 (a) any mining, quarrying or prospecting information; or
 (b) any rights to such information;
as property, or a legal or equitable right, for the purposes of subsection (1).
 (4) Despite subsection (1), something that has already become a starting base asset relating to an interest in a petroleum project derived from a particular retention lease or exploration permit cannot become a starting base asset relating to an interest in another petroleum project derived from that lease or permit.
 (5) This Schedule applies to any improvement to, or any fixture on, land as if it were an asset separate from the land, whether the improvement or fixture is removable or not.