Taxation Laws Amendment Act (No. 2) 1999 (93 of 1999)

Schedule 3   Depreciation of plant previously owned by an exempt entity

Part 1   Income Tax Assessment Act 1997

3   At the end of section 42-190

Add:

(4) The operation of subsection (2) is affected, in relation to certain*plant to which Division 58 applies, by subsections 58-85(7) and (8), 58-145(7) and (8), 58-215(2) and (3) and 58-270(2) and (3).

(5) If a*transition entity or a*tax exempt vendor had at any previous time been the owner or a*quasi-owner of the*plant and either of the following paragraphs applies:

(a) the transferor was the transition entity or the purchaser from the tax exempt vendor and Common rule 1 applied to your acquisition of the plant;

(b) the transferor was not the transition entity or the purchaser from the tax exempt vendor and Common rule 1 applied to:

(i) your acquisition of the plant; and

(ii) all earlier successive acquisitions of the plant by entities that acquired it from, or became the owners or quasi-owners of it after it was acquired from, the transition entity or the purchaser from the tax exempt vendor;

subsection (2) has effect in relation to the plant as if paragraph (a) of that subsection were omitted and replaced by whichever of the paragraphs mentioned in subsections 58-85(7) and (8), 58-145(7) and (8), 58-215(2) and (3) and 58-270(2) and (3) would have applied to the transition entity or the purchaser from the tax exempt vendor, as the case may be.