This part requires information about any depreciating assets – tangible or intangible – whose decline in value you are claiming for the first time this income year, for example assets that you start to use for a taxable purpose this income year. You can only include assets that:
- are covered by the uniform capital allowance system (UCA), and
- you have used for a taxable purpose.
A taxable purpose is:
- the purpose of producing assessable income
- the purpose of exploration or prospecting
- the purpose of mining site rehabilitation, or
- environmental protection activities.
If you did not complete the labels Intangible depreciating assets first deducted or Other depreciating assets first deducted on your tax return or on the 2003 business and professional items schedule, you do not need to complete this part of the schedule. Go to part B.
See the Guide to depreciating assets for information about the UCA and for more information on any of the terms referred to in this part.
Note
- Do not include assets you acquired this year for which you are not claiming a deduction for decline in value. You will include these assets in the year you begin to claim deductions for them.
- For labels A, B and C, include the cost of assets that the UCA provides a specific treatment for. For example, include the cost of
- low-cost assets that have been allocated to a low-value pool
- primary production assets, and
- assets used in exploration or prospecting.
- For labels A and B, do not include capital expenditure you have allocated to a software development pool for the income year.
- The cost of an asset may not be the same as its purchase price. It may be adjusted in certain circumstances -for example, to the car limit.
- The cost shown in part A should include any amounts included in the second element of cost.