Document ID: chunk:federal_register_of_legislation:C2004C00927:clause:1_5:p1
Version: federal_register_of_legislation:C2004C00927
Segment Type: clause
Provision Reference: sch 1 cl 5 (pt 1/2)
Character Range: 474536–477208

5                                                             you stop using for the purpose for which it was primarily and principally constructed or acquired (even though it has not been disposed of or destroyed)  the market value of the road or building when you stopped using it

 (2) However, the termination value does not include:
 (a) an amount that is included, or when received will be included, in your assessable income for any income year as a lease premium under Division 4 (Leases) of Part III of the Income Tax Assessment Act 1936; or
 (b) if a net capital gain is or will be included in your assessable income for any income year under Part IIIA (Capital gains and capital losses) of the Income Tax Assessment Act 1936—the part of the net capital gain that is attributable to a premium on the grant or assignment of a lease.

387‑495  Meaning of written down value

  The written down value of a road or building is:

 your total capital expenditure of a kind that qualifies for a deduction under this Subdivision in respect of the road or building;
less:

 the total of the amounts you deducted or can deduct in relation to the road or building under this Subdivision for income years before the *current year.

Note: Take account of amounts deducted or deductible under section 124F or 124JA of the Income Tax Assessment Act 1936 for the road or building. See section 387‑472 of the Income Tax (Transitional Provisions) Act 1997.

Resuming deductions

387‑500  Resuming deductions after you stop using a road or building

 (1) This section explains how this Subdivision applies if:
 (a) you incurred capital expenditure relating to a *forestry road or *timber mill building as described in section 387‑460 (which allows you to deduct for the expenditure); and
 (b) for a reason other than the disposal or destruction of the road or building, you stopped using it for the purpose for which it was primarily and principally constructed or acquired; and
 (c) you started to use the road or building again for that purpose.

 (2) This Subdivision applies as if:
 (a) you had incurred a reasonable amount of capital expenditure relating to the road or building when you started to use the road or building again; and
 (b) you had not, and could not have, deducted amounts relating to the road or building for income years ending before you started to use it again.

Note: This section allows you to make deductions for the income year during which you started to use the road or building again and for later income years, despite the fact that you stopped using the road or building as described in paragraph (b).

Application of Common rules

387‑505