INCOME TAX ASSESSMENT ACT 1936 (ARCHIVE)

PART III - LIABILITY TO TAXATION  

Division 3 - Deductions  

Subdivision A - General  

SECTION 62AAN   OPENING BALANCE OF POOL  

62AAN(1)   [Calculation]  

The opening balance of a pool for a year of income (in this section called the ``current year of income'' ) is calculated using the formula:

where:

``Closing balance for preceding year'' means the closing balance of the pool for the preceding year of income;

``Depreciated value of new property'' means the amount obtained by:

(a) identifying each unit of property allocated to the pool for the current year of income where the current year of income is the first year of income for which the allocation applies; and

(b) calculating the depreciated value, as at the beginning of the current year of income, of each such unit of property; and

(c) adding up those depreciated values;

``Reconstructed depreciated value of cancelled property'' means the amount obtained by:

(a) identifying each unit of property allocated to the pool for the preceding year of income where the allocation of the property to the pool for the current year of income is cancelled; and

(b) calculating the reconstructed depreciated value, as at the beginning of the current year of income, of each such unit of property; and

(c) adding up those reconstructed depreciated values.

62AAN(2)   [Commercial debt forgiveness]  

Subsection (1) has effect subject to Division 245 of Schedule 2C .