INCOME TAX (TRANSITIONAL PROVISIONS) ACT 1997 (ARCHIVE)

CHAPTER 3 - SPECIALIST LIABILITY RULES  

PART 3-45 - RULES FOR PARTICULAR INDUSTRIES AND OCCUPATIONS  

Division 330 - Mining and quarrying  

Subdivision 330-C - Development and operation of a mine or quarry  

SECTION 330-10 (ARCHIVE)   Converting old excess pre-1 July 1975 general mining exploration or prospecting deductions into allowable capital expenditure under the new law  

330-10(1)   [Exploration or prospecting expenditure]  

If, at the end of the 1996-97 income year, there are excess amounts of expenditure of the kind referred to in subsection 122J(3) of the Income Tax Assessment Act 1936 , that expenditure is taken to be exploration or prospecting expenditure incurred by you in the 1997-98 income year.

330-10(2)   [Not deductible]  

But you cannot deduct that expenditure under section 330-15 of the Income Tax Assessment Act 1997 in the 1997-98 income year or a later income year.

330-10(3)   [Deemed allowable capital expenditure]  

Instead, in the first income year after the 1996-97 income year in which you carry on eligible mining operations (other than in the course of petroleum mining) that expenditure is taken to be allowable capital expenditure incurred by you in that year. You can then write it off in that income year and later income years under section 330-80 of the Income Tax Assessment Act 1997 .