Document ID: chunk:federal_register_of_legislation:C2004C00927:clause:1_12:p2
Version: federal_register_of_legislation:C2004C00927
Segment Type: clause
Provision Reference: sch 1 cl 12 (pt 2/7)
Character Range: 264946–267819

for *plant to which subsection (3) applies is worked out using the formula:

where:

transferor's original cost means:
 (a) the *plant's cost; or
 (b) if paragraph (3)(b) applies—the plant's cost to the earliest successive transferor;
under section 73B, ignoring subsection 73B(6).

modified written down value means the written down value under section 73B worked out as though:
 (a) the transferor's original cost were your cost; and
 (b) the amount mentioned in paragraph (3)(a) or (b) had been deducted or deductible by you.

Subdivision 42-G—Calculation of balancing adjustments for some cars

Guide to Subdivision 42-G

42-225  What this Subdivision is about

      This Subdivision explains how to calculate your balancing adjustment when a balancing adjustment event occurs for a car for which you have:
           deducted depreciation; and
           chosen the "cents per kilometre" method or the "12% of original value" method for deducting your car expenses.

Table of sections

42-230 Explanatory material
42-232 Diagram showing the operation of this Subdivision

Operative provisions

42-235 When do you use this Subdivision for a car?
42-240 Including an amount in assessable income
42-245 Deducting an amount
42-250 Reduction to take account of days when depreciation not claimed
42-255 Meaning of notional depreciation amount
42-260 Meaning of notional written down value

42-230  Explanatory material

 (1) This Subdivision has limited application because:
 (a) if you have used only the "cents per kilometre" method or the "12% of original value" method since you began using the car, you will not have been able to deduct depreciation and so balancing adjustments are not relevant; and
 (b) if you have used only the "log book" method or the
"one-third of actual expenses" method since you began using the car, balancing adjustments are calculated under Subdivision 42-F.

 (2) If this Subdivision applies, you have to reduce your balancing adjustment to reflect the extent to which you have chosen the "cents per kilometre" method or the "12% of original value" method: see section 42-250.

42-232  Diagram showing the operation of this Subdivision

Operative provisions

42-235  When do you use this Subdivision for a car?

 (1) A balancing adjustment for a *car is calculated under this Subdivision if, for the period you were its owner:
 (a) you deducted or can deduct an amount for depreciation of the car in one or more income years; and
 (b) you chose:
 (i) the "cents per kilometre" method in
Subdivision 28‑C; or
 (ii) the "12% of original value" method in
Subdivision 28‑D;
  for deducting your *car expenses for the car for one or more other income years.

 (2) You must make that calculation for the income year in which a *balancing adjustment event occurs for the *car.

42-240  Including an amount in assessable income

 (1) You