Treasury Laws Amendment (Housing Tax Integrity) Act 2017 (126 of 2017)

Schedule 2   Limiting depreciation deductions for assets in residential premises

Income Tax Assessment Act 1997

2   After subsection 25-47(4)

Insert:

(4A) You must further reduce the amount you can deduct under this section if your deductions for the asset have been reduced under section 40-27 (about second-hand assets in residential property). The reduction is by the same proportion you reduce the balancing adjustment amount for the asset under section 40-291.