Document ID: chunk:federal_register_of_legislation:C2004A00846:clause:1_1:p10
Version: federal_register_of_legislation:C2004A00846
Segment Type: clause
Provision Reference: sch 1 cl 1 (pt 10/21)
Character Range: 23707–26345

is allocated to a *general STS pool—the average of:
 (i) the proportion you estimated under subsection (1) or (2); and
 (ii) the proportion applicable to the asset for each of the 3 income years you *held the asset after the one in which the asset was allocated to the pool; or
 (c) if you have had to make at least one such adjustment and the asset is allocated to a long life STS pool—the average of:
 (i) the proportion you estimated under subsection (1) or (2); and
 (ii) the proportion applicable to the asset for each of the 20 income years you *held the asset after the one in which the asset was allocated to the pool.

Example: When Bria's van was allocated to her general STS pool for the 2001‑02 income year, she estimated that it would be used 50% for deliveries in her florist business. Due to increasing deliveries, Bria estimates the van's business use to be 70% for the 2002‑03 year, and 90% for the 2003‑04 year. She makes an adjustment under section 328‑225 for both those years.

 Bria sells the van for $3,000 at the start of the 2005‑06 income year. She must now average the business use estimates for the van for the year it was allocated to the pool and the next 3 years to work out the taxable purpose proportion of its termination value. The average is worked out as follows:
                  *   50% (original estimate); plus
                  *   70% (2002‑03 estimate); plus
                  *   90% (2003‑04 estimate); plus
                  *   90% (no change on previous year);

 The taxable purpose proportion of the van's termination value is, therefore:

328‑210  Low pool value

 (1) Your deduction for a *general STS pool or *long life STS pool for an income year is the amount worked out under subsection (2) (instead of an amount calculated under section 328‑190) if that amount is less than $1,000 but more than zero.

Note: See section 328‑215 for the result when the amount is less than zero.

 (2) The amount is the sum of:
 (a) the pool's *opening pool balance for the income year; and
 (b) the *taxable purpose proportion of the *adjustable value of each *depreciating asset you started to use, or have *installed ready for use, for a *taxable purpose during the income year and that is allocated to that pool; and
 (c) the taxable purpose proportion of any cost addition amounts (see subsection 328‑190(3)) for the income year for assets allocated 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