Document ID: chunk:federal_register_of_legislation:C2004C00927:clause:6_2:p9
Version: federal_register_of_legislation:C2004C00927
Segment Type: clause
Provision Reference: sch 6 cl 2 (pt 9/10)
Character Range: 601412–604123

the 1936 Act.

 (3) For plant that an entity acquired or constructed before 13 March 1991, references in subsection 42-310(2) of the 1997 Act to the effective life of plant include references to the period that would have been worked out or adopted as its effective life if the contract was entered into or the construction commenced on or after that date.

[The next section is section 42-355.]

42-355  Creating a pool

  A pool created under the 1936 Act continues in existence for the 1997-98 income year and later income years as if it had been created under section 42-355 of the 1997 Act.

42-360  Allocating plant to a pool

  Plant that was allocated to such a pool immediately before the 1997-98 income year remains allocated to it, but may be removed under section 42-370 of the 1997 Act.

42-365  What plant is eligible for allocation to a pool?

 (1) In applying paragraph 42-365(b) of the 1997 Act to work out whether you can allocate plant that you acquired or constructed before 27 February 1992 to a pool, use the annual depreciation percentage worked out under the old depreciation provisions rather than the diminishing value rate.

 (2) You cannot allocate plant you acquired before that date and plant you acquired on or after that date to the same pool.

42-370  Removal of plant from a pool

  In applying paragraph 42-370(2)(b) of the 1997 Act to work out whether plant that you acquired or constructed before 27 February 1992 is automatically removed from a pool, you also use the annual depreciation percentage worked out under the old depreciation provisions rather than the diminishing value rate.

42-375  Calculating depreciation deductions for pooled plant

  In calculating depreciation deductions for pooled plant that you acquired or constructed before 27 February 1992, multiply the result you get by using the formula in section 42-375 of the 1997 Act by 1.5.

42-380  Meaning of opening balance

  The component "closing balance for last year" in the formula in section 42-380 is, for the 1997-98 income year, the closing balance of the pool for the preceding year worked out under section 62AAO of the 1936 Act.

[The next section is section 42-400.]

42-400  Whether plant acquired or constructed after 26 February 1992

  The rules in section 66 of the Taxation Laws Amendment Act (No. 2) 1992 apply for the purpose of working out whether plant was acquired or constructed after 26 February 1992.

42-405  Modifying Common rule 1 so that it may apply to a disposal of plant under the new depreciation provisions

  If:
 (a) you have deducted or can deduct an amount for depreciation of plant under the old depreciation provisions; and
 (b) in the 1997-98 income