Document ID: chunk:federal_register_of_legislation:C2004A00846:clause:1_1:p11
Version: federal_register_of_legislation:C2004A00846
Segment Type: clause
Provision Reference: sch 1 cl 1 (pt 11/21)
Character Range: 26103–28721

to the pool;
less the sum of the taxable purpose proportion of the *termination values of depreciating assets allocated to that pool and for which a *balancing adjustment event occurred during the income year.

 (3) In that case, the *closing pool balance of the pool for that income year then becomes zero.

Example: Amanda's Graphics, an STS taxpayer, has an opening pool balance of $1,200 for its general STS pool for the 2004‑05 income year.

 During that year, Amanda acquired a new computer for $2,000. The taxable purpose proportion of its adjustable value is:

 Amanda also sold her business car for $1,900 during that year. The car was used 100% in the business.

 To work out whether she can deduct an amount under this section, Amanda uses this calculation:

 Because the result is less than $1,000, Amanda can deduct the $900 for the income year. The pool's closing balance for the year is zero.

328‑215  Disposal etc. of depreciating assets

 (1) This section sets out adjustments you may have to make if a *balancing adjustment event occurs for a *depreciating asset for which you calculate your deductions under this Subdivision.

 (2) If the asset is allocated to a pool and:
 (a) the *closing pool balance of the pool for the income year in which the event occurred is less than zero; or
 (b) the amount worked out under subsection 328‑210(2) for that income year is less than zero;
the amount by which that balance or amount is less than zero is included in your assessable income for that year.

 (3) In that case, the *closing pool balance of the pool for that income year then becomes zero.

 (4) If the asset was one for which you deducted an amount under section 328‑180 (about low‑cost assets), you include the *taxable purpose proportion of the asset's *termination value in your assessable income.

328‑220  What happens when you stop being an STS taxpayer

 (1) If you stop being an *STS taxpayer for an income year, this Subdivision continues to apply to your *general STS pool and *long life STS pool for that year and later years.

 (2) However, *depreciating assets you started to use, or have *installed ready for use, for a *taxable purpose while you are not an *STS taxpayer cannot be allocated to a pool under this Subdivision until you again become an STS taxpayer.

328‑225  Change in business use

 (1) You must, for each income year (the present year) after the year in which a *depreciating asset is allocated to a pool, make a reasonable estimate of the proportion you use the asset, or have it *installed ready for use, for a *taxable purpose in that year.

 (1A) You must