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  • Depreciation

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    This information may not apply to the current year. Check the content carefully to ensure it is applicable to your circumstances.

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    There have been many changes to the way in which depreciation can now be claimed as a tax deduction-for example, accelerated rates of depreciation have been replaced with rates based solely on effective life, the practice of allowing deductions on a replacement basis for certain items such as crockery, bedding and linen, no longer applies and the concept of a low-value pool being treated as a separate item of plant has been introduced. All these changes are fully explained in the publication Guide to Depreciation.

    The following is a summary of the more important depreciation provisions as they relate to claims for depreciation in respect of items of plant used to produce rental income.

    Last modified: 28 Jul 2003QC 16187