Using our effective life determinations
Our effective life determinations will not be challenged in any audit process and have been referred to as ‘safe harbour lives’. If we do not make an effective life determination for an asset you use, you must self-assess the effective life.
You do not have to use our effective life determinations. You can choose to self-assess the effective life of a depreciating asset if you feel our effective life determination is not appropriate for your specific circumstances.
If you self-assess the effective life of a depreciating asset, either because we have not already made a determination for it or you feel our determination is not appropriate for your circumstances, we may ask you to explain your choice of effective life.
For information about self-assessing the effective life of a depreciating asset, refer to section 40 - 105 of the ITAA 1997.