INCOME TAX (TRANSITIONAL PROVISIONS) ACT 1997

CHAPTER 3 - SPECIALIST LIABILITY RULES  

PART 3-45 - RULES FOR PARTICULAR INDUSTRIES AND OCCUPATIONS  

Division 355 - Research and Development  

Subdivision 355-M - Undeducted core technology expenditure  

SECTION 355-605   Core technology that is a depreciating asset  

This section only applies for deductions under Division 40

355-605(1)  
This section applies for the purposes of Division 40 of the Income Tax Assessment Act 1997 , other than sections 40-292 and 40-293 of that Act, if the core technology (the asset ) is a depreciating asset.

355-605(2)  
Disregard this section, including its effect on the amount you can deduct under section 40-25 of that Act for the asset, for the purposes of working out:


(a) a deduction under any other Division of that Act for any income year; and


(b) a tax offset under any other Division of that Act for any income year. Changes made by this section

355-605(3)  
The asset's opening adjustable value for the first income year that commences on or after 1 July 2011 (the first new income year ) is equal to the amount of the undeducted expenditure.

355-605(4)  
Subsection 40-75(2) of the Income Tax Assessment Act 1997 applies to the asset as if the first new income year were a change year (within the meaning of that subsection).




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