Document ID: chunk:federal_register_of_legislation:C2004C01190:clause:1_1:p8
Version: federal_register_of_legislation:C2004C01190
Segment Type: clause
Provision Reference: sch 1 cl 1 (pt 8/18)
Character Range: 24461–26977

property and you stop using it for a taxable purpose—its market value at that time; or
 (e) if you do not own the property and you stop using it for a taxable purpose—a reasonable amount.
However, the amount included is reduced to the extent (if any) that it is also included under subsection 40‑830(6) of the new Act.

40‑45  Intellectual property

 (1) This section applies to you if:
 (a) at the end of 30 June 2001, you hold an item of intellectual property referred to in the table in section 373‑35 of the former Act; and
 (b) you have deducted or can deduct an amount for expenditure on the asset under Division 373 of the former Act.

 (2) Subdivision 40‑B of the new Act applies to the item on this basis:
 (a) it has an opening adjustable value at 1 July 2001 equal to its unrecouped expenditure under the former Act at the end of 30 June 2001; and
 (b) its cost is its original unrecouped expenditure under the former Act; and
 (c) its effective life is the same as it had under the former Act; and
 (d) you must use the prime cost method.

Note: There are special rules for entities that have substituted accounting periods: see section 40‑65.

40‑50  Forestry roads and timber mill buildings

 (1) This section applies to you if:
 (a) you have deducted or can deduct an amount under Subdivision 387‑G of the former Act for an amount (the qualifying amount) of expenditure on a forestry road or timber mill building; and
 (b) you hold the road or building at the end of 30 June 2001.

 (2) Subdivision 40‑B of the new Act applies to the asset on this basis:
 (a) it has an opening adjustable value at 1 July 2001 equal to the qualifying amount less any amounts you have deducted or can deduct for it under the former Act; and
 (b) in applying the formula in section 40‑75 of the new Act for your income year in which 1 July 2001 occurs—you use the adjustments in subsection 40‑75(3) of the new Act; and
 (c) its cost is the qualifying amount; and
 (d) it has an effective life equal to the remaining life you last estimated for it under the former Act; and
 (e) you can recalculate its effective life if you conclude that your estimate is no longer accurate (except that the effective life cannot exceed 25 years); and
 (f) you must use the prime cost method.

Note: There are special rules for entities that have substituted accounting periods: see section 40‑65.

40‑55  Environmental impact assessment

 (1) This section applies to you if you have deducted or can deduct an amount under Subdivision