INCOME TAX ASSESSMENT ACT 1936 (ARCHIVE)
PART III
-
LIABILITY TO TAXATION
Division 10F
-
Deduction for capital expenditure incurred in establishing horticultural plants
Use the following table to work out the annual write-off rate and the maximum write-off period for a plant. The maximum write-off period for a plant begins at the time when the plant first became capable of being used:
(a) for the purpose of producing assessable income; and
(b) in a business of horticulture.
Subdivision C
-
Annual deduction where the effective life of a plant is 3 or more years
SECTION 124ZZI
124ZZI
WHAT IS THE ANNUAL WRITE-OFF RATE AND THE MAXIMUM WRITE-OFF PERIOD?
Use the following table to work out the annual write-off rate and the maximum write-off period for a plant. The maximum write-off period for a plant begins at the time when the plant first became capable of being used:
(a) for the purpose of producing assessable income; and
(b) in a business of horticulture.
Years in effective life of plant | Annual write-off rate | Maximum write-off period |
3 to fewer than 5 | 0.40 | 2 years and 183 days |
5 to fewer than 6 2/3 | 0.27 | 3 years and 257 days |
6 2/3 to fewer than 10 | 0.20 | 5 years |
10 to fewer than 13 | 0.17 | 5 years and 323 days |
13 to fewer than 30 | 0.13 | 7 years and 253 days |
30 or more | 0.07 | 14 years and 105 days |
Note:
Effective life is defined by section 124ZZK .
This information is provided by CCH Australia Limited Link opens in new window. View the disclaimer and notice of copyright.