Document ID: chunk:federal_register_of_legislation:C2024C00267:section:3:p49
Version: federal_register_of_legislation:C2024C00267
Segment Type: section
Provision Reference: s 3 (pt 49/50)
Character Range: 197102–199576

you acquire it:
 (i) within 2 income years after the end of the income year in which the balancing adjustment event occurred; and
 (ii) in your 2001‑02 or 2002‑2003 income year; and
 (b) at the end of the income year in which you acquired it, you used it, or had it installed ready for use, wholly for the purpose of producing assessable income; and
 (c) you can deduct an amount for its decline in value; and
 (d) you had not made a choice under section 42‑285 or 42‑293 of the former Act for the balancing adjustment event.
 (3) The adjustable value of the replacement plant is reduced by the amount covered by the choice as at the first day of the income year in which you acquired it.

40‑340  Roll‑overs
 (1) This section applies to an entity (the transferee) if:
 (a) there is roll‑over relief under section 40‑340 of the new Act as a result of a balancing adjustment event happening to plant; and
 (b) the transferor referred to in that section was working out the decline in value of the plant under subsection 40‑10(3) or 40‑12(3) of this Act.

Plant acquired before 21 September 1999
 (2) The transferee works out the decline in value of the plant under subsection 40‑10(3) or 40‑12(3) of this Act using the same method as the transferor if:
 (a) the transferor started to hold the plant under a contract entered into at or before 11.45 am, by legal time in the Australian Capital Territory, on 21 September 1999; or
 (b) the transferor constructed it and the construction started at or before that time; or
 (c) the transferor acquired it in some other way at or before that time; or
 (d) the transferor acquired it from an entity that was working out the decline in value of the plant under subsection 40‑10(3) or 40‑12(3) of this Act and paragraph (a), (b) or (c) of this subsection applied to that entity or to the earliest successive transferor.

Small business taxpayers
 (3) The transferee also works out the decline in value of the plant under subsection 40‑10(3) or 40‑12(3) of this Act using the same method as the transferor if:
 (a) the plant was not acquired as mentioned in subsection (2); and
 (b) the transferor, or an earlier successive transferor, was using a rate for the plant under subsection 42‑160(1) or 42‑165(1) of the former Act; and
 (c) the conditions set out in this table are satisfied:

Conditions for small business taxpayers retaining accelerated rates
Item                                                                 Condition