INCOME TAX ASSESSMENT ACT 1936 (ARCHIVE)

PART III - LIABILITY TO TAXATION  

Division 3 - Deductions  

Subdivision A - General  

SECTION 62AAG   CANCELLATION OF ALLOCATION TO POOL - CESSATION OF EXCLUSIVE ASSESSABLE INCOME-PRODUCING USE  

62AAG(1)   [When allocation cancelled]  

If:

(a) property is allocated by a taxpayer to a pool for a year of income; and

(b) during the year of income, the taxpayer ceased to use the property exclusively for assessable income-producing purposes; and

(c) that cessation was not by way of the disposal, loss or destruction of the property;

the allocation is cancelled insofar as it applies for that year of income and for subsequent years of income.

62AAG(2)   [Property used for assessable income-producing purposes]  

For the purposes of this section, a unit of property is taken to be used for assessable income-producing purposes by a taxpayer if, and only if, the property is:

(a) used by the taxpayer for the purpose of producing assessable income; or

(b) installed ready for use for that purpose and held in reserve by the taxpayer.