Document ID: chunk:federal_register_of_legislation:C2004C00927:clause:1_4:p2
Version: federal_register_of_legislation:C2004C00927
Segment Type: clause
Provision Reference: sch 1 cl 4 (pt 2/5)
Character Range: 282776–285670

If there is both an owner and a *quasi-owner of *plant, only the quasi-owner can deduct an amount for depreciation.

Subdivision 42-J—Partial change of ownership

Guide to Subdivision 42-J

42-325  What this Subdivision is about

      This Subdivision sets out when a partial change of ownership will result in a balancing adjustment event.

Table of sections

Operative provisions

42-330 Partial change of ownership
42-335 Acquisition and roll-over relief

Operative provisions

42-330  Partial change of ownership

 (1) This subsection applies if:
 (a) for any reason, a change occurs in the ownership of, or in the interests of entities in, *plant; and
 (b) the entity or one of the entities that owned the plant before the change has an interest in it after the change.

 (2) This subsection applies if:
 (a) there is a *quasi-owner of *plant; and
 (b) for any reason, a change occurs in the quasi-ownership of, or in the interests of quasi-owners in, the plant; and
 (c) the entity or one of the entities that was a quasi-owner of the plant before the change has an interest in it after the change.

Note: If subsection (1) or (2) applies, a balancing adjustment event occurs for the plant, see subsection 42-30(3).

 (3) However, subsection (1) or (2) applies only if a *balancing adjustment event does not otherwise occur for the *plant.

 (4) The reasons for the change occurring include:
 (a) the formation or dissolution of a partnership; and
 (b) a variation in the constitution of a partnership, or in the interests of the partners.

42-335  Acquisition and roll-over relief

 (1) If subsection 42-330(1) applies, the owners of the *plant after the change (the transferee) are taken to have acquired it from its owners before the change (the transferor).

 (2) If subsection 42-330(2) applies, the *quasi-owners of the *plant after the change (the transferee) are taken to have acquired it from its *quasi-owners before the change (the transferor).

 (3) Common rule 1 applies if the transferor and transferee jointly elect for roll-over relief.

Note: For the conditions relating to the election, see section 41-55.

Subdivision 42-K—Car depreciation limit

Guide to Subdivision 42-K

42-340  What this Subdivision is about

      This Subdivision explains how to calculate the car depreciation limit referred to in section 42-80.

Table of sections

Operative provisions

42-345 Calculation of limit

Operative provisions

42-345  Calculation of limit

 (1) The car depreciation limit for the 1996-97 *financial year is $55,134.

 (2) The car depreciation limit for a later *financial year is the amount calculated using the formula:

where:

depreciation limit is the *car depreciation limit for the *financial year immediately before the financial year for which the limit is being calculated.

indexation factor is the number calculated, to 3 decimal places, under