Document ID: chunk:federal_register_of_legislation:C2004C00958:clause:5_2:p2
Version: federal_register_of_legislation:C2004C00958
Segment Type: clause
Provision Reference: sch 5 cl 2 (pt 2/2)
Character Range: 917493–919889

Deduction for destruction of a horticultural plant first used for commercial horticulture before 1998‑99 income year

 (1) Section 387‑190 of the Income Tax Assessment Act 1997 applies in relation to a horticultural plant first used (or held ready for use) for commercial horticulture before the 1998‑99 income year and destroyed in that income year or later, as if sections 387‑165 and 387‑185 of that Act had applied to assessments for income years before that income year.

Note: Section 387‑190 of the Income Tax Assessment Act 1997 allows a deduction for the destruction of a horticultural plant with an effective life of 3 years or more. This deduction is additional to the deduction for the plant under section 387‑165 of that Act.

 (2) This section has effect despite section 387‑160.

387‑195  Treatment of deductions under Division 10F of Part III of the Income Tax Assessment Act 1936

 (1) In applying subsection 387‑195(2) of the Income Tax Assessment Act 1997 to work out whether you can deduct an amount under Subdivision 387‑C of that Act for expenditure on establishing a horticultural plant, disregard any amount deducted or deductible under Division 10F of Part III of the Income Tax Assessment Act 1936.

Note: This ensures that you can deduct amounts for the 1998‑99 income year and later income years under Subdivision 387‑C of the Income Tax Assessment Act 1997 for expenditure on establishing a horticultural plant, even if an entity did or can deduct amounts for one or more income years before the 1998‑99 income year under Division 10F of Part III of the Income Tax Assessment Act 1936 for the expenditure.

 (2) Subdivision 387‑C of the Income Tax Assessment Act 1997 does not affect a deduction, or an entitlement to a deduction, under Division 10F of Part III of the Income Tax Assessment Act 1936 for the 1997‑98 income year or an earlier income year.

[The next section is section 387‑205.]

387‑205  New owners' requests for tax information from last owners of horticultural plants

  Section 387‑205 of the Income Tax Assessment Act 1997 applies to a change of ownership of a horticultural plant that occurs on or after 1 July 1998.

Note: That section allows the new owner of a horticultural plant to require the last owner to provide tax information relating to the plant.

Part 2—Consequential amendment of the Income Tax Assessment Act 1997