Income Tax Assessment Act 1997
This section tells you in which income year to deduct under section 8-1 (about general deductions) an outgoing incurred in connection with acquiring an item of *trading stock. (The outgoing must be deductible under that section.) 70-15(2)
If the item becomes part of your *trading stock on hand before or during the income year in which you incur the outgoing, deduct it in that income year. 70-15(3)
Otherwise, deduct the outgoing in the first income year:
(a) during which the item becomes part of your *trading stock on hand; or
(b) for which an amount is included in your assessable income in connection with the disposal of that item.
You can deduct your capital costs of acquiring land carrying trees or of acquiring a right to fell trees, to the extent that the trees are felled for sale, or for use in manufacture, by you. (This is because the trees will then usually become your trading stock.) See section 70-120 .