Taxation Ruling

TR 2014/4

TR 2014/4 - Income tax: effective life of depreciating assets (applicable from 1 July 2014)

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Please note that the PDF version is the authorised consolidated version of this ruling and amending notices.

This Ruling, which applies from 1 July 2014, replaces TR 2013/4 (see paragraph 5 of this Ruling for further details).

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Schedule

ANZSIC categories in Table A

	Page
AGRICULTURE, FORESTRY AND FISHING	28
Agriculture	30
Sheep farming	33
Beef cattle farming	33
Beef cattle feedlots	34
Dairy cattle farming	35
Nursery and floriculture production	36
Mushroom growing	38
Vegetable growing (under cover)	39
Vegetable growing (outdoors) and sugar cane growing	39
Fruit growing	40
Coffee, olive and tree nut growing	42
Poultry farming for breeding, eggs and meat	43
Poultry hatcheries	44
Pig farming	45
Aquaculture	46
Forestry and logging	47
Fishing	48
MINING	48
Coal mining	52
Oil and gas extraction	53
Iron ore mining	56
Gold ore mining	56
Mineral sand mining	57
Nickel ore mining	58
Construction material mining	58
Petroleum exploration services	59
Mineral exploration services	59
MANUFACTURING	60
Meat processing	60
Poultry processing	65
Cured meat and smallgoods manufacturing	66
Dairy product manufacturing	66
Fruit and vegetable processing	67
Oil and fat manufacturing	69
Grain mill product manufacturing	71
Cereal and pasta product manufacturing	72
Bakery product manufacturing	74
Bakery product manufacturing (non factory based)	75
Sugar manufacturing	76
Confectionery manufacturing	80
Prepared animal and bird feed manufacturing	80
Other food product manufacturing n.e.c.	84
Soft drink, cordial and syrup manufacturing	91
Beer manufacturing (except non alcoholic beer)	92
Spirit manufacturing	94
Wine and other alcoholic beverage manufacturing	95
Cigarette and tobacco manufacturing	97
Textile, leather, clothing and footwear manufacturing	97
Log sawmilling and timber dressing	98
Plywood and veneer manufacturing	98
Reconstituted wood product manufacturing	99
Other wood product manufacturing	100
Pulp, paper and converted paper product manufacturing	100
Paper stationery manufacturing	101
Sanitary paper product manufacturing	101
Printing	102
Newspaper printing or publishing	103
Printing support services	104
Petroleum refining	106
Industrial gas manufacturing	107
Basic chemical and chemical product manufacturing	111
Human pharmaceutical and medicinal product manufacturing	118
Cleaning compound and toiletry preparation manufacturing	120
Other basic chemical product manufacturing	120
Polymer film and sheet packaging material manufacturing	120
Polymer product and rubber product manufacturing	121
Paint and coatings manufacturing	121
Glass and glass product manufacturing	122
Non metallic mineral product manufacturing	125
Ceramic product manufacturing	125
Cement manufacturing	125
Plaster product manufacturing	128
Ready-mixed concrete manufacturing	129
Concrete product manufacturing	130
Iron smelting and steel manufacturing	133
Alumina production	147
Aluminium smelting	147
Non ferrous metal casting	148
Fabricated metal product manufacturing	149
Steel coil roll forming, slitting, blanking and sheet metal forming	149
Boiler, tank and other heavy gauge metal container manufacturing	153
Motor vehicle manufacturing	153
Motor vehicle body and trailer manufacturing	160
Other motor vehicle parts manufacturing	160
Railway rolling stock manufacturing and repair services	161
Other transport equipment manufacturing n.e.c.	163
Photographic, optical and ophthalmic equipment manufacturing	163
Other professional and scientific equipment manufacturing n.e.c.	163
Furniture and other manufacturing	164
ELECTRICITY, GAS, WATER AND WASTE SERVICES	164
Electricity supply	164
Gas supply	168
Irrigation water providers	169
Water supply	169
Sewerage and drainage services	171
Solid waste collection services	172
Waste remediation and materials recovery services	173
CONSTRUCTION	174
Other heavy and civil engineering construction n.e.c.	175
WHOLESALE TRADE	176
Wool wholesaling	176
Petroleum product wholesaling	176
Commission-based wholesaling	178
RETAIL TRADE	178
Motor vehicle tyre or tube retailing	179
Fuel retailing	180
Food retailing	181
Other store-based retailing	181
ACCOMMODATION AND FOOD SERVICES	181
Accommodation	181
Cafes, restaurants, takeaway food services, pubs, taverns bars and clubs (hospitality)	183
TRANSPORT POSTAL AND WAREHOUSING	184
Road transport	184
Tramway and light rail passenger transport services	184
Rail freight and passenger transport services	185
Water transport and support services	187
Scenic and sightseeing transport	190
Courier pick up and delivery services	192
Airport operations and other air transport support services	192
Other transport support services n.e.c.	194
Other warehousing and storage services	194
INFORMATION MEDIA AND TELECOMMUNICATIONS	195
Telecommunication services	195
Motion picture and video activities	196
Motion picture exhibition	199
Radio broadcasting	200
Television broadcasting	201
Internet publishing and broadcasting	203
Library and other information services	203
FINANCIAL AND INSURANCE SERVICES	203
RENTAL, HIRING AND REAL ESTATE SERVICES	204
Rental and hiring services (except real estate)	204
Residential property operators	206
Non residential property operators	210
PROFESSIONAL, SCIENTIFIC AND TECHNICAL SERVICES	211
Scientific research services	211
Surveying and mapping services	212
Veterinary services	213
Professional photographic services	213
ADMINISTRATIVE AND SUPPORT SERVICES	214
Building and other industrial cleaning services	214
Gardening services	214
Packaging services	215
EDUCATION AND TRAINING	216
HEALTH CARE AND SOCIAL ASSISTANCE	216
Hospitals	216
Dental services	219
Optometry and optical dispensing	219
Pathologist and other pathology	221
Podiatry services	221
Radiology and diagnostic imaging services	222
Specialist medical services n.e.c	223
Nursing home operation	224
ARTS AND RECREATION SERVICES	224
Heritage activities	224
Creative and performing arts activities	224
Health and fitness centres and gymnasia operations	224
Sport and recreation services	225
Gambling activities	227
OTHER SERVICES	227
Automotive repair and maintenance	227
Automotive body, paint and interior repair n.e.c.	230
Hairdressing and beauty services	232
Funeral, crematorium and cemetery services	232
Laundry and dry cleaning services	232
Photographic film processing	234

Industry listing - Table A

	Page
Accommodation operations (hotels, motels etc)	181
Acetylene manufacturing (carbide process)	108
Aerial cable car operation	190
Agriculture generally	30
Agriculture, forestry and fishing generally	28
Aircraft maintenance operation	192
Aircraft training operation	192
Airport operation	192
Alumina manufacturing	147
Alumina production	147
Aluminium casting	148
Aluminium smelting	147
Ammonia manufacturing	111
Ammonium nitrate manufacturing	113
Ammonium nitrate prill manufacturing	113
Ammonium nitrate solution manufacturing	114
Amusement machines	225
Amusement rides	225
Animal park operation	224
Aquaculture	46
Aquarium operation (sea life centres)	224
Arboriculture services	214
Argon manufacturing (cryogenic process)	108
Automotive glass product manufacturing	123
Automotive repair and maintenance operation	227
Backbone network assets (Telecommunications)	195
Bacon manufacturing	66
Bakery product manufacturing (factory based)	74
Bakery product manufacturing (non factory based)	75
Bank operation	203
Bar operation	183
Basic chemical and chemical product manufacturing	111
Basic oxygen steel making (BOS) - Iron smelting and steel manufacturing	139
Bauxite refining	147
Beauty industry operations	232
Beef cattle farming	33
Beef cattle feedlots	34
Beekeeping	30
Beer manufacturing (except non-alcoholic beer)	92
Biscuit manufacturing (factory based)	74
Biscuit manufacturing (retail operations)	75
Blast furnace assets (Iron smelting and steel manufacturing)	138
Boiler, tank and other heavy gauge metal container manufacturing	153
Boot polish manufacturing	120
Boot manufacturing	97
Brass casting	148
Bread manufacturing (factory based)	74
Bread manufacturing (retail operations)	75
Broom manufacturing	164
Brush manufacturing	164
Building cleaning services	214
Bulk fuel regional depot assets (excluding LPG assets)	176
Bulk fuel terminal assets (excluding LPG assets)	177
Bus manufacturing	153
Bus vehicle body assembly	153
Butcher shop operation	181
Cafe operation	183
Cake manufacturing (factory based)	74
Cake manufacturing (retail operations)	75
Calcined alumina manufacturing	147
Car detailing operation	230
Car wash operation	230
Carbon dioxide manufacturing	108
Carpet cleaning operation	232
Case making	100
Cement manufacturing	125
Cement tile manufacturing	133
Ceramic tile manufacturing (rapid fire shuttle kilns)	125
Cereal and pasta product manufacturing generally	72
Cereal food manufacturing	72
Chair lift operation (non-snowfield areas)	190
Chair lift operation (snowfield areas)	191
Chemical manufacturing (not listed elsewhere)	115
Cigarette paper cutting and folding	97
Clay brick manufacturing	125
Clay paver manufacturing	125
Cleaning services (industrial)	214
Clothes peg (plastic) manufacturing	121
Clothes peg (wood) manufacturing	100
Clothing manufacturing	97
Clubs (hospitality) operation	183
Coal mining	52
Coffee growing	42
Coffee processing	84
Co-generation power generation	165
Coin-operated amusement machines	225
Coke making (Iron smelting and steel manufacturing)	134
Combined cycle power generation	165
Commercial office building assets	210
Commercial printing	102
Commercial vessels (Water transport and support services)	187
Concrete block manufacturing	130
Concrete brick manufacturing	130
Concrete paver manufacturing	130
Concrete product manufacturing	130
Concrete roof tile manufacturing	130
Concrete tile manufacturing (other than concrete roof tiles)	133
Confectionery manufacturing	80
Construction assets generally	174
Construction material mining	58
Contact lens manufacturing	163
Container glass manufacturing	122
Cordial manufacturing	91
Cork manufacturing	100
Cornice (plaster) manufacturing	128
Cotton growing	30
Cotton manufacturing	97
Courier pick up and delivery services	192
Crushing and milling assets (Mining)	48
Dairy cattle farming	35
Dairy product manufacturing	66
Dental services	219
Diagnostic imaging services	222
Diesel or gas engine power generation	166
Distribution centre operation	194
Dry cleaning operation	233
Dry ice manufacturing	108
Electric arc furnace steel making (EAF) - Iron smelting and steel manufacturing	139
Electricity distribution	164
Electricity generation	164
Electricity supply	164
Electricity transmission	167
Electronic toll collection	194
Ethanol manufacturing	115
Eucalyptus oil manufacturing	120
Explosive manufacturing (excluding ammonia and ammonium nitrate manufacturing)	120
Fabricated metal product manufacturing	149
Fat (edible) manufacturing	69
Fertiliser manufacturing (excluding ammonia and ammonium nitrate manufacturing)	118
Fibre cement building board manufacturing	131
Finishing and converted paper product manufacturing	101
Fishing operations	48
Fitness centre operation	224
Flat or float glass manufacturing	122
Flock manufacturing	97
Flour manufacturing	71
Frozen appetiser manufacturing	87
Frozen finger food manufacturing	87
Frozen lasagne manufacturing	87
Frozen pasta product manufacturing	87
Frozen pizza manufacturing	87
Frozen potato product manufacturing	87
Frozen pre-prepared food manufacturing generally	85
Frozen pre-prepared meal manufacturing	88
Fruit and vegetable canning	67
Fruit growing	40
Fruit juice drink manufacturing	67
Fruit juice manufacturing	67
Fruit packing (fresh) - off farm	215
Fruit packing (on farm)	28
Fuel retailing	180
Funeral directing	232
Furniture making	164
Galvanising operations	149
Gambling activities	227
Gaming machines	227
Gardening services	214
Gas distribution	168
Gas extraction	53
Gas production	54
Gas supply	168
Gas transmission	168
Gas turbine power generation	166
Gelatine manufacturing	121
Glass and glass product manufacturing	122
Glass product manufacturing	123
Glider operations	190
Glue manufacturing	121
Gold ore mining	56
Grain growing	30
Gravel quarrying (Construction material mining)	58
Gymnasia operations	224
Hairdressing and beauty services	232
Hairdressing services	232
Hat manufacturing	97
Hay and forage growing	31
Health and fitness centre operations	224
Heavy vehicle repair and maintenance operation	227
Helium manufacturing	108
Hop growing	32
Horticultural plants	32
Hospital operation	216
Hot air balloon operation	190
Hot strip mill assets (Iron smelting and steel manufacturing)	142
Human pharmaceutical and medicinal product manufacturing	118
Hydro-electric power generation	166
Hydrogen manufacturing	109
Hydrometallurgy assets (Mining)	48
Hydroponic growing (including cut flower growing)	39
Hygienic paper product manufacturing	101
Ice manufacturing	91
Industrial cleaning services	214
Industrial gas distribution	109
Industrial gas manufacturing - generally	107
Ink manufacturing	121
International telecommunications submarine cable (Telecommunications)	195
Internet only broadcasting	203
Iron ore mining	56
Iron smelting and steel manufacturing	133
Irrigation water providers	168
Jam manufacturing	69
Jewellery making	164
Joinery operations	100
Kindergarten operation	216
Laundry operation	233
Library operation	203
Light rail passenger transport services	184
Linseed oil manufacturing	71
Logging	47
LPG depot and terminal operation	177
Magnesium casting	148
Malt manufacturing	71
Marina operation	226
Materials handling assets (Mining)	49
Materials recovery facility (MRF) assets	173
Meat processing	60
Medical assets generally	216
Metal blanking (Motor vehicle manufacturing)	156
Metal crushing (core fragmentised)	149
Metal spring manufacturing	149
Metal stamping (Motor vehicle manufacturing)	156
Metal tank manufacturing	149
Microwave radio telecommunications	195
Millinery manufacturing	97
Mineral dressing assets (Mining)	50
Mineral exploration services	59
Mineral sand mining	57
Miniature golf course operation	226
Mining generally	48
Mobile telecommunications assets	195
Monument masonry	125
Motion picture activities	196
Motion picture exhibition	199
Motor car engine assembly	158
Motor car engine manufacturing	158
Motor cycle manufacturing	163
Motor vehicle body and trailer manufacturing	160
Motor vehicle manufacturing	153
Motor vehicle manufacturing (not separately listed)	160
Motor vehicle tube retailing	179
Motor vehicle tyre retailing	179
Moulding machinery (wood)	100
Museum operation (aircraft/war museums)	224
Mushroom growing	38
Nail manufacturing	149
Neurology services	223
Newspaper printing	103
Nickel ore mining	58
Nitric acid manufacturing	114
Nitrogen manufacturing (cryogenic process)	108
Non ferrous metal casting	148
Nursery and floriculture production	36
Nursing home operation	224
Oil (edible) manufacturing	69
Oil extraction	53
Oil production	55
Oil refining	106
Olive growing	42
Olive oil processing	71
Optical dispensing	219
Optical lens grinding	163
Optometry services	219
Other heavy and civil engineering construction n.e.c.	175
Other motor vehicle parts manufacturing	160
Other store-based retailing operation	181
Oxygen manufacturing (cryogenic process)	108
Oyster farming	46
Packaging services	215
Paint and coatings manufacturing	121
Pasta product manufacturing	73
Pastry manufacturing (factory based)	74
Pastry manufacturing (retail operations)	75
Pathology services	221
Peanut growing	30
Peanut processing	89
Pellet making (Iron smelting and steel manufacturing)	137
Pet food manufacturing	80
Petroleum exploration services	59
Petroleum product wholesaling	176
Petroleum refining	106
Pharmaceutical research	211
Photographic engraving service	234
Photographic film processing	234
Photography operations	213
Picture frame manufacturing	100
Pie manufacturing (factory based)	74
Pig farming	45
Piston ring manufacturing	160
Planetarium operation	224
Plaster product manufacturing	128
Plasterboard manufacturing	128
Plate mill assets (Iron smelting and steel manufacturing)	143
Plywood and veneer manufacturing	98
Podiatry services	221
Poker machines	227
Polymer (plastic) product manufacturing (not separately listed)	121
Polymer film and sheet packaging material manufacturing	120
Post-press (finishing) trade services	104
Pottery goods manufacturing	125
Poultry farming for breeding, eggs and meat	43
Poultry hatcheries	44
Poultry processing	65
Power station civil and structural works	167
Prefabricated concrete product manufacturing	132
Prepared animal and bird feed manufacturing generally	82
Pre-press trade services	105
Primary metal product casting (Iron smelting and steel manufacturing)	141
Printing support services	104
Pub operation	183
Pulp and paper mill operation	100
Pyrometallurgy assets (Mining)	48
Racehorses	226
Radio broadcasting	200
Radiology services	222
Rail freight transport services	185
Rail passenger transport services	185
Railway rolling stock manufacturing	161
Railway rolling stock repair services	161
Ready-mixed concrete manufacturing	129
Reconstituted wood product manufacturing	99
Rendering	62
Rental and hiring services (except real estate)	204
Residential property operators	206
Restaurant operation	183
Retail trade assets generally	178
Rice growing	30
Rice milling	72
Road transport operation	184
Rod, bar structural and rail mill assets (Iron smelting and steel manufacturing)	144
Rope and twine manufacturing	97
Rubber and rubber product manufacturing	121
Rug cleaning operation	232
Salt manufacturing and refining	118
Salvage services (Water transport and support services)	190
Sand quarrying (Construction material mining)	58
Sanitary paper product manufacturing	101
Satellite communication assets (Telecommunications)	196
Saw making	149
Saw milling assets	98
Scenic and sightseeing transport operation	190
Scientific medical research	211
Screen printing	103
Sewerage and drainage services	171
Sheep farming	33
Sheet metal tank manufacturing	153
Shoe manufacturing	97
Shoe polish manufacturing	120
Silos used in agriculture	33
Sinter making (Iron smelting and steel manufacturing)	136
Skating rink operation	226
Ski lift operation	191
Slate works assets	125
Smash repair operation	231
Snow grooming	191
Snow making	191
Soft drink manufacturing	91
Solar power generation	167
Solid waste collection services	172
Spirit manufacturing	94
Stationery manufacturing	101
Steel coil blanking	149
Steel coil roll forming	150
Steel coil roll slitting	151
Steel coil shear line assets	149
Steel railway track product manufacturing (Iron smelting and steel manufacturing)	144
Steel sheet metal forming	152
Steel strip metallic coating (Iron smelting and steel manufacturing)	145
Steel strip organic coating (Iron smelting and steel manufacturing)	146
Stock and station agent operations	178
Stud stock and thoroughbred horses	33
Sugar cane growing	39
Sugar milling	76
Sugar refining	78
Sulphuric acid manufacturing	118
Surface mobile mining machines	50
Surveying and mapping services	212
Syrup manufacturing	91
Takeaway food service operation	183
Tanning operations (leather)	97
Tavern operation	183
Tea processing	90
Tree nut growing	42
Telecommunications generally	196
Telecommunications - payphones	196
Television broadcasting	201
Ten pin bowling centre operation	226
Tennis court operation	227
Theatre operation (other than motion picture theatres)	224
Thermal power generation	167
Thoracic specialist services	223
Tin-plating mill assets (Iron smelting and steel manufacturing)	146
Totalisator operation	227
Tramway passenger transport services	184
Truck body manufacturing	153
Truck manufacturing	153
Umbrella manufacturing	164
Underground mobile mining machines	51
Upholstery cleaning operation	232
Vegetable growing (outdoors)	39
Vegetable growing (under cover)	39
Vegetable packing (fresh) - off farm	215
Vegetable packing - on farm	28
Veterinary services	213
Video production activities	196
Warehouse operation	194
Waste remediation and materials recovery services	172
Watch making	163
Water assets (Agriculture)	29
Water supply	169
Water transport and support services	187
Weaving machinery (silk and cotton)	97
Wind power generation	167
Wine manufacturing	95
Wood working assets	100
Wool dumping machinery	97
Wool scouring machinery	97
Wool wholesaling	176
Woollen manufacturers' machinery	97

Not issued as a draft

References

ATO references:
NO 99/132027; 2000/20567; 2003/11601; 2004/17815; 2005/6504; 2005/18073; 2006/25212; 2007/7796; 2008/9394; 2009/5704; 1-20KCCA6; 1-2Z8ZAX4; 1-3VCCZ0O; 1-4NMTK3G; 1-5EJ20VG

ISSN: 1039-0731

Related Rulings/Determinations:

IT 2685
TR 2000/18
TR 2006/5
TR 2006/15
TR 2007/3
TR 2008/4
TR 2009/4
TR 2010/2
TR 2011/2
TR 2012/2
TR 2013/4

Subject References:
capped lives
determination of effective life
decline in value
depreciating assets
effective life
effective life determination

Legislative References:
ITAA 1997
ITAA 1997 Div 40
ITAA 1997 40-70(1)
ITAA 1997 40-72(1)
ITAA 1997 40-75(1)
ITAA 1997 40-95
ITAA 1997 40-100
ITAA 1997 40-100(5)
ITAA 1997 40-100(6)(b)
ITAA 1997 40-102(4)
ITAA 1997 40-102(4A)
ITAA 1997 40-105
ITAA 1997 40-110
TAA 1953

Other References:
Income Tax (Effective Life of Depreciating Assets) Amendment Determination 2014 (No. 1)

TR 2014/4 history

	Date:	Version:	Change:
	25 June 2014	Original ruling
You are here	16 July 2014	Consolidated ruling	Erratum
	6 August 2014	Consolidated ruling	Addendum

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