Document ID: chunk:federal_register_of_legislation:C2004C00927:clause:1_4:p3
Version: federal_register_of_legislation:C2004C00927
Segment Type: clause
Provision Reference: sch 1 cl 4 (pt 3/5)
Character Range: 285400–288155

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 subsection (3) for the *financial year for which the limit is being calculated.

 (3) The indexation factor for a *financial year is the number calculated using the formula:

where:

index number, for a quarter, means the index number for the motor vehicle purchase sub-group of the Consumer Price Index, being the weighted average of the 8 capital cities, first published by the Australian Statistician for the quarter.

first March year means the period of 12 months ending on
31 March immediately before the *financial year for which the limit is being calculated.

second March year means the period of 12 months immediately before the first March year.

 (4) If the Australian Statistician changes the reference base for the motor vehicle purchase sub-group of the Consumer Price Index, only index numbers published in terms of the new base are to be used after the change.

 (5) The Commissioner must publish before the beginning of each *financial year the indexation factor and the *car depreciation limit for that financial year.

Subdivision 42-L—Pooling

Guide to Subdivision 42-L

42-350  What this Subdivision is about

      You can reduce the number of depreciation calculations you have to make by allocating a number of units of plant that have the same depreciation rate to a pool. One calculation is made for all plant in the pool.
      You cannot pool plant for the year you acquire it.

Table of sections

Operative provisions

42-355 Creating a pool
42-360 Allocating plant to a pool
42-365 What plant is eligible for allocation to a pool?
42-370 Removal of plant from a pool
42-375 Calculating depreciation deductions for pooled plant
42-380 Meaning of opening balance
42-385 Meaning of closing balance
42-390 Calculation of balancing adjustments for pooled plant
42-395 Application of CGT to pooled plant

Operative provisions

42-355  Creating a pool

  You may choose to create a pool by recording in writing:
 (a) the first income year for which *plant may be allocated to it; and
 (b) the pool percentage.

42-360  Allocating plant to a pool

  You may choose to allocate *plant to a *pool by recording in writing:
 (a) the pool to which you are allocating it; and
 (b) the income year for which it is allocated.

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

  You can only allocate *plant to a *pool for an income year if:
 (a) you can deduct an amount for depreciation of it for that year; and
 (b) the *diminishing value rate for the