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Not part of a set

Last updated 31 May 2005

Whether items form a set needs to be determined on a case by case basis. Items may be regarded as a set if they are:

  • interdependent on each other
  • marketed as a set, or
  • designed and intended to be used together.

It is the cost of a set of assets you acquire in the income year that must not exceed $300. The test cannot be avoided by buying parts of a set separately.

Start of example

Example: Set of items (ignoring any GST impact)

In the 2002–03 income year Paula, a primary school teacher, buys a series of six progressive reading books costing $65 each. The books are designed so that pupils move on to the next book only when they have successfully completed the previous book. The books are marketed as a set and are designed to be used together. The six books would be regarded as a set. Paula cannot claim an immediate deduction for any of these books because they form part of a set which she acquired in the income year and the total cost of the set is more than $300.

End of example

More information about sets is available in the publication Capital allownaces – $300 immediate deduction tests.