A New Tax System (Tax Administration) Act (No. 2) 2000 (91 of 2000)

Schedule 4A   Income tax deductions for GST-related expenditure

Income Tax Assessment Act 1997

9   At the end of section 25-80

Add:

Reducing the deduction

(4) Reduce your deduction by an amount that reasonably reflects the extent (if any) you neither used the upgraded *plant, nor had it *installed ready for use, for the *purpose of producing assessable income during the period in the income year you were its owner or *quasi-owner.

(5) Also, if you do not become the owner or *quasi-owner of the upgraded *plant by the end of 30 June 2000, reduce your deduction by an amount that reflects the extent (if any) that, as at that time, you reasonably expect neither to use the upgraded plant, nor to have it *installed ready for use, for the *purpose of producing assessable income during that part of the *financial year beginning on 1 July 2000 for which you expect to be its owner or quasi-owner.