Document ID: chunk:federal_register_of_legislation:C2024C00267:section:3:p21
Version: federal_register_of_legislation:C2024C00267
Segment Type: section
Provision Reference: s 3 (pt 21/50)
Character Range: 131462–134005

Act; and
 (c) for a forestry road or timber mill building—using the rules in section 40‑50 of this Act.
 (7) The entity must work out the decline in value of each of the assets for later income years under Division 40 of the new Act.
 (8) The entity must, in working out its deductions under this section for the calculation year for:
 (a) allowable capital expenditure for which the entity had deducted or can deduct an amount under Subdivision 330‑C of the former Act; or
 (b) transport capital expenditure for which the entity had deducted or can deduct an amount under Subdivision 330‑H of the former Act; or
 (c) a water facility for which the entity had deducted or can deduct an amount under Subdivision 387‑B of the former Act; or
 (d) expenditure on connecting power to land or upgrading the connection for which the entity had deducted or can deduct an amount under Subdivision 387‑E of the former Act; or
 (e) expenditure on a telephone line on or extending to land for which the entity had deducted or can deduct an amount under Subdivision 387‑E of the former Act;
reduce its deductions for each of the periods referred to in paragraphs (2)(a) and (b) by multiplying the deduction for that period by the number of days in that period and dividing the result by 365.
 (9) The entity cannot deduct anything for an asset referred to in this section under the former Act for any part of its calculation year after 30 June 2001.
 (10) You are entitled to a further deduction for a depreciating asset for which you are using the diminishing value method if the sum of the deductions worked out under paragraphs (2)(a) and (b) (the sum amount) is less than the deduction to which you would have been entitled for the asset if the former Act had continued to apply to the whole of the calculation year (the former Act amount).
 (11) You increase the amount worked out under paragraph (2)(b) by the difference between the former Act amount and the sum amount.

40‑67  Methods for working out decline in value
 (1) Subsections 40‑65(6) and (7) of the Income Tax Assessment Act 1997 apply with the changes set out in this section if either or both of the following events have happened:
 (a) you have deducted one or more amounts under former section 73BA of the Income Tax Assessment Act 1936 for an asset;
 (b) you could have deducted one or more amounts under that former section for the asset if you had not chosen tax offsets under former section 73I of that Act.
 (2) Assume:
 (a) paragraph 40‑65(6)(a) of the Income Tax Assessment Act