Document ID: chunk:federal_register_of_legislation:C2021C00270:clause:5_29:p4
Version: federal_register_of_legislation:C2021C00270
Segment Type: clause
Provision Reference: sch 5 cl 29 (pt 4/10)
Character Range: 70856–73499

under subsection 355‑315(3) for the asset and the balancing adjustment event.
Note 1: This section applies in a modified way if the entity also has deductions for the asset under former section 73BA or 73BH of the Income Tax Assessment Act 1936 (see section 355‑320 of the Income Tax (Transitional Provisions) Act 1997).
Note 2: Section 40‑292 applies if the entity can deduct an amount under section 40‑25, as that section applies apart from this Division and former section 73BC of the Income Tax Assessment Act 1936.
 (2) The amount is so much of an amount equal to the section 40‑285 amount as does not exceed the difference between:
 (a) the asset's *cost; and
 (b) the asset's *adjustable value, worked out under Division 40 as if that Division applied with the changes described in section 355‑310.

355‑447  Balancing adjustments for assets partially used for R&D activities
 (1) The *R&D entity has an amount under this section if:
 (a) a *balancing adjustment event happens in the present year for an asset *held by the R&D entity and for which:
 (i) the R&D entity can deduct, for an income year, an amount under section 40‑25, as that section applies apart from Division 355 and former section 73BC of the Income Tax Assessment Act 1936; or
 (ii) the R&D entity could have deducted, for an income year, an amount as described in subparagraph (i) if the R&D entity had used the asset; and
 (b) the R&D entity is entitled under section 355‑100 to *tax offsets for one or more income years for deductions (the R&D deductions) under section 355‑305 for the asset; and
 (c) an amount (the section 40‑285 amount) is included in the R&D entity's assessable income for the asset under section 40‑285 (after applying subsection 40‑292(2)) for the present year.
Note: This section applies in a modified way if you have deductions for the asset under former section 73BA or 73BH of the Income Tax Assessment Act 1936 (see section 40‑292 of the Income Tax (Transitional Provisions) Act 1997).
 (2) The amount is worked out as follows:
where:
adjusted section 40‑285 amount means so much of an amount equal to the section 40‑285 amount as does not exceed the total decline in value.
total decline in value means the *cost of the asset less its *adjustable value.

355‑448  Balancing adjustments for R&D partnership assets only used for R&D activities
 (1) The *R&D entity (the partner) has an amount under this section if:
 (a) the partner is a partner in an *R&D partnership; and
 (b) a *balancing adjustment event happens in the present year for an asset *held by the R&D partnership; and
 (c) the R&D partnership cannot deduct, for the asset