Document ID: chunk:federal_register_of_legislation:C2020A00061:clause:4_3
Version: federal_register_of_legislation:C2020A00061
Segment Type: clause
Provision Reference: sch 4 cl 3
Character Range: 11537–13293

3  After subsection 40‑82(2)
Insert:
 (2A) The decline in value of a *depreciating asset you *hold for the income year (the current year) in which you start to use the asset, or have it *installed ready for use, for a *taxable purpose is the amount worked out under subsection (2B) if:
 (a) you are an entity covered by subsection (4) (about medium sized businesses), or by subsection (4A) (about medium sized businesses and certain assets) in relation to the asset, for:
 (i) the current year; and
 (ii) the income year in which you started to hold the asset; and
 (b) you first acquired the asset:
 (i) at or after 7.30 pm, by legal time in the Australian Capital Territory, on 2 April 2019; and
 (ii) on or before 31 December 2020; and
 (c) the current year ends on or after 12 March 2020; and
 (d) you start to use the asset, or have it installed ready for use, for a taxable purpose:
 (i) on or after 12 March 2020; and
 (ii) on or before 31 December 2020; and
 (e) the asset is a depreciating asset whose *cost as at the end of the earlier of:
 (i) the end of the current year; and
 (ii) 31 December 2020;
  is less than $150,000.
Note: The amount you can deduct may be reduced by other provisions, such as subsection 40‑25(2) (about taxable purpose) and section 40‑215 (about double deductions).
 (2B) The amount is:
 (a) unless paragraph (b) applies—the asset's *cost as at the earlier of:
 (i) the end of the current year; and
 (ii) 31 December 2020; or
 (b) if the asset's *start time occurred in an earlier income year—the sum of:
 (i) the asset's *opening adjustable value for the current year; and
 (ii) any amount included in the second element of the asset's cost for the current year, other than an amount included after 31 December 2020.