INCOME TAX ASSESSMENT ACT 1936 (ARCHIVE)

PART III - LIABILITY TO TAXATION  

Division 3 - Deductions  

Subdivision A - General  

SECTION 62AAT   TAXPAYER'S ASSESSABLE INCOME TO INCLUDE PROCEEDS OF DISPOSAL OF POOLED PROPERTY ETC.  

62AAT(1)   [Proceeds of disposal included in assessable income]  

If:

(a) property is allocated by a taxpayer to a pool for a year of income; and

(b) the property is disposed of, lost or destroyed during the year of income;

then:

(c) an amount equal to so much of the consideration receivable in respect of the disposal, loss or destruction (within the meaning of section 59 ) as does not exceed the cost of the property is included in the taxpayer's assessable income of the year of income; and

(d) the disposal, loss or destruction does not affect the allocation of the property to the pool for a subsequent year of income; and

(e) so long as the property remains allocated to the pool for a subsequent year of income, section 62AAP applies to the subsequent year of income as if depreciation were allowable to the taxpayer under this Act in relation to the subsequent year of income in respect of the property.

62AAT(2)   [Application of s 59(2A)-(2E)]  

Subsections 59(2A) to (2E) (inclusive) apply to the taxpayer and in relation to the property as if a reference in each of those subsections to subsection 59(2) included a reference to subsection (1) of this section.

62AAT(3)   [Allowable depreciation]  

If:

(a) property owned by a taxpayer is disposed of to another person; and

(b) an amount (in this subsection called the ``assessable amount'' ):

(i) is included in the taxpayer's assessable income under subsection (1) of this section in respect of the disposal; or

(ii) would, apart from subsection 59(2A) or (2D) , be included in the taxpayer's assessable income under subsection (1) of this section in respect of the disposal; and

(c) section 60 applies to the acquisition of the property by the other person;

then:

(d) in spite of anything in subsection 60(1) , the person acquiring the property is to be allowed depreciation calculated on the assessable amount; and

(e) in spite of anything in subsection 62(2) , for the purposes of subsection 62(1) , the person acquiring the property is taken to have acquired the property at a cost equal to the assessable amount.