Tax Laws Amendment (2004 Measures No. 6) Act 2005 (23 of 2005)

Schedule 6   Irrigation water providers

Income Tax Assessment Act 1997

8   After subsection 40-630(2)

Insert:

(2A) In applying paragraph (2)(b) to capital expenditure incurred by a *rural land irrigation water provider on a dam or structural improvement, the requirement in paragraph 45-40(1)(c) that the land on which the dam or structural improvement is situated be used for agricultural or pastoral operations is to be disregarded.

Exception: deduction available under Subdivision 40-F

(2B) A *rural land irrigation water provider cannot deduct an amount under this Subdivision for capital expenditure if the entity can deduct an amount for that expenditure under Subdivision 40-F.