Income Tax Assessment Act 1997

CHAPTER 2 - LIABILITY RULES OF GENERAL APPLICATION  

PART 2-10 - CAPITAL ALLOWANCES: RULES ABOUT DEDUCTIBILITY OF CAPITAL EXPENDITURE  

Division 41 - Additional deduction for certain new business investment  

Operative provisions  

SECTION 41-15   Amount of deduction  

41-15(1)    
The amount that you can deduct is:

(a) if the *new investment threshold for the income year in relation to the asset is $1000 (small business entities) - 50% of the total of the *recognised new investment amounts for the income year in relation to the asset; or

(b) if paragraph (a) does not apply but subsection (3), (4) or (5) applies - 10% of that total; or

(c) otherwise - the sum of:

(i) 30% of the total of the *recognised new investment amounts for the income year in relation to the asset that meet the condition in subsection (2); and

(ii) 10% of the total of the other recognised new investment amounts for the income year in relation to the asset.

41-15(2)    
A *recognised new investment amount meets the condition in this subsection if:

(a) the *investment commitment time for the amount occurred before 1 July 2009; and

(b) the *first use time for the amount occurred before 1 July 2010.

41-15(3)    
This subsection applies if the income year is the 2011-12 income year.

41-15(4)    
This subsection applies if:

(a) you can deduct the amount because of paragraph 41-10(4)(a) ; and

(b) the *new investment threshold for the income year in relation to the asset exceeds the total of the *recognised new investment amounts for the income year in relation to the asset that meet the condition in subsection (2).

41-15(5)    
This subsection applies if:

(a) you can deduct the amount because of paragraph 41-10(4)(b) or (c) ; and

(b) the *new investment threshold for the income year in relation to the asset exceeds the sum of:

(i) the total of the *recognised new investment amounts for the income year in relation to the asset that meet the condition in subsection (2); and

(ii) the total of the amounts treated under paragraph 41-10(4)(b) or (c) (as the case requires) as recognised new investment amounts for the income year in relation to the asset that meet the condition in subsection (2).