Income Tax (Transitional Provisions) Act 1997

CHAPTER 3 - SPECIALIST LIABILITY RULES  

PART 3-45 - RULES FOR PARTICULAR INDUSTRIES AND OCCUPATIONS  

Division 328 - Small business entities  

SECTION 328-181   Full expensing - 2020 budget time to 30 June 2023  

328-181(1)    
In this section:

2020 budget time
has the same meaning as in section 328-180 .

Year asset first used etc. for a taxable purpose

328-181(2)    

For the purposes of determining whether subsection 328-180(1) of the Income Tax Assessment Act 1997 allows you to deduct an amount in relation to a depreciating asset, disregard paragraph (b) of that subsection (which sets a limit of $1,000 on the cost of the asset) if, in the period beginning at the 2020 budget time and ending on 30 June 2023, you:

(a)    start to hold the asset; and

(b)    start to use it, or have it installed ready for use, for a taxable purpose.

Years later than the year asset first used etc. for a taxable purpose

328-181(3)    

For the purposes of determining whether subsection 328-180(2) of the Income Tax Assessment Act 1997 allows you to deduct an amount in relation to a depreciating asset, disregard paragraph (a) of that subsection (which sets a limit of $1,000 on the amount) if the amount is included in the second element of the cost of the asset at any time in the period beginning at the 2020 budget time and ending on 30 June 2023.

328-181(4)    
In applying paragraph 328-180(3)(a) of the Income Tax Assessment Act 1997 to an asset, disregard an amount included in the second element of the cost of the asset if the amount is deducted under subsection 328-180(2) of that Act, as modified by subsection (3) of this section.

Low pool value

328-181(5)    
Section 328-210 of the Income Tax Assessment Act 1997 applies as if the words " less than $1,000 but " in subsection (1) were disregarded, in relation to a deduction for an income year that ends:

(a)    at or after the 2020 budget time; and

(b)    

on or before 30 June 2023.