Taxation Ruling

TR 2018/4

Income tax: effective life of depreciating assets (applicable from 1 July 2018)

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

This document has been Withdrawn.
View the Withdrawal notice for this document.
This Ruling, which applies from 1 July 2018, replaces TR 2017/2 (see paragraph 5 of this Ruling for further details).
This Ruling has been replaced by TR 2019/5 .

Retail trade - (39110 to 43209)

RETAIL TRADE
(39110 to 43209)

ASSET	LIFE (YEARS)	REVIEWED	DATE OF APPLICATION
Counters, freestanding (including check-out and service counters)	10	*	1 Jul 2005
Door controls and motor drive systems for automatic sliding doors (incorporating chains, controls, motors and sensors, but excluding doors)	15	*	1 Jul 2005
Electronic article surveillance (EAS) system assets (including barcodes or tag deactivators and detachers, door pedestals, electronic tag release assets, receivers and transmitters)	5	*	1 Jul 2005
Floor coverings (removable without damage):
Carpet	8	*	1 Jul 2005
Floating timber	10	*	1 Jul 2005
Linoleum	10	*	1 Jul 2005
Vinyl	10	*	1 Jul 2005
Furniture, freestanding (including chairs, cupboards, racks, showcases and tables)	10	*	1 Jul 2005
Hot food display assets (including bain marie)	10	*	1 Jul 2005
Loading bay assets - see Table B Loading bay assets
Overhead track scales (including meat rail scales)	10	*	1 Jul 2005
Power supply assets, emergency or standby:
Generator assets:
Acoustic hoods and canopies	20	*	1 Jul 2005
Generators (incorporating attached engine management and generator monitoring instrument)	25	*	1 Jul 2005
Power management unit	15	*	1 Jul 2005
Uninterruptible power supply (UPS) system:
Line interactive type	5	*	1 Jul 2013
On line double conversion type	10	*	1 Jul 2013
Public address and paging system assets (including amplifiers, audio speakers and microphones) - see Table B Public address and paging system assets
Refrigeration assets:
Generally (including blast chillers, condensers, evaporators, refrigeration cabinets, standalone freezers and standalone refrigerators)	10	*	1 Jul 2014
Ice making machines	8	*	1 Jul 2014
Insulation panels used in cool or freezer rooms	40	*	1 Jul 2014
Roller shutter electric motors	20	*	1 Jul 2005
Shelving	10	*	1 Jul 2005
Signage used for business identification (including lighting for signs) - see Table B Advertising signs
Trolleys, customer shopping type	7	*	1 Jul 2005
Trolleys, stock type	10	*	1 Jul 2005
Visual display assets (including body forms, head displayers, mannequins and seasonal decorations)	7	*	1 Jul 2005

*Motor vehicle tyre or tube retailing* *(39220)*
ASSET	LIFE (YEARS)	REVIEWED	DATE OF APPLICATION
Air tools (including ratchet guns)	2	*	1 Jul 2011
Compressed air assets:
Air compressors:
Reciprocating	10	*	1 Jul 2011
Rotary screw	10	*	1 Jul 2011
Rotary vane	10	*	1 Jul 2011
Air receivers	10	*	1 Jul 2011
Air driers and dehumidifiers	10	*	1 Jul 2011
Hose reels	3	*	1 Jul 2011
Reticulation lines:
Aluminium	15	*	1 Jul 2011
Copper	20	*	1 Jul 2011
Polyethylene (PE)	15	*	1 Jul 2011
Steel	10	*	1 Jul 2011
Floor jacks:
Used for car and light truck repairs	3	*	1 Jul 2011
Used for heavy vehicle repairs	5	*	1 Jul 2011
Hand tools	10	*	1 Jul 2011
Stillages	15	*	1 Jul 2011
Storage shelving	10	*	1 Jul 2011
Tyre conveyors:
Horizontal	10	*	1 Jul 2011
Vertical	8	*	1 Jul 2011
Tyre fitting machines	5	*	1 Jul 2011
Tyre inflation cages	10	*	1 Jul 2011
Tyre inflators (automatic and manual)	3	*	1 Jul 2011
Tyre spreaders	8	*	1 Jul 2011
Vehicle hoists:
Used for car and light truck repairs	10	*	1 Jul 2011
Used for heavy vehicle repairs	20	*	1 Jul 2011
Wheel alignment machines	7	*	1 Jul 2011
Wheel balancing machines	5	*	1 Jul 2011
Wheel balancing plates, flanges and finger adaptors	5	*	1 Jul 2011
Wheel lifters	5	*	1 Jul 2011
Wheel lifters (incorporating tyre spreaders)	8	*	1 Jul 2011

*Fuel retailing* *(40000)*
ASSET	LIFE (YEARS)	REVIEWED	DATE OF APPLICATION
Air compressors and air lines	7	*	1 Jul 2010
Automatic tank gauges	10	*	1 Jul 2010
Canopy lighting:
Liquid emitting diode	10	*	1 Jul 2010
Radiant gas positive	5	*	1 Jul 2010
Convenience store assets:
Air conditioning systems	7	*	1 Jul 2010
Back-loading refrigerated cabinets (incorporating fans, boosters and compressors)	10	*	1 Jul 2010
CCTV video surveillance systems	4	*	1 Jul 2010
Coffee making machines (including espresso and drip filter type machines)	5	*	1 Jul 2010
Counters - freestanding	10	*	1 Jul 2010
Display shelving and racking	10	*	1 Jul 2010
Door controls and motor drive systems for automatic opening doors (incorporating controls, motors and sensors, but excluding doors)	7	*	1 Jul 2010
Hot food display assets (including bain maries)	10	*	1 Jul 2010
Microwave ovens	5	*	1 Jul 2010
Pie warmers and heating units	10	*	1 Jul 2010
Refrigerated cabinets and freezers	10	*	1 Jul 2010
PA systems	12	*	1 Jul 2010
Point of sale assets:
Barcode scanners	6	*	1 Jul 2010
Electronic funds transfer point of sale machines (EFTPOS)	6	*	1 Jul 2010
Forecourt controllers	6	*	1 Jul 2010
Safes:
Cash storage	10	*	1 Jul 2010
Cash vending	7	*	1 Jul 2010
Cigarette safes	7	*	1 Jul 2010
Emergency shut off systems	10	*	1 Jul 2010
Facility signs	7	*	1 Jul 2010
Gasoline and diesoline assets:
Effluent treatment systems (incorporating motors, electronic circuitry, pumps, and separators)	8	*	1 Jul 2010
Leak protection pressure systems	8	*	1 Jul 2010
Single or multi product gasoline and diesoline dispensers (incorporating meters, electronic circuitry, LCD displays, cash presets, hoses, automatic nozzles, steel cabinets and, where applicable, vapour recovery monitoring and collection systems)	10	*	1 Jul 2010
Single or multi product gasoline and diesoline pumps (incorporating pump units, meters, electronic circuitry, LCD displays, cash presets, hoses, automatic nozzles, steel cabinets and, where applicable, vapour recovery monitoring and collection systems	7	*	1 Jul 2010
Pay at pump card reading systems	6	*	1 Jul 2010
Submersible turbine pumps	8	*	1 Jul 2010
Underground fuel distribution and containment piping systems (incorporating pipes, fittings and manholes)	20	*	1 Jul 2010
Underground fuel storage tanks - steel and fibreglass	20	*	1 Jul 2010
Hot water systems	10	*	1 Jul 2010
LPG assets:
LPG pumps	7	*	1 Jul 2010
LPG dispensers (incorporating meters, electronic circuitry, LCD displays, cash presets, hoses, automatic nozzles and steel cabinets)	10	*	1 Jul 2010
LPG storage tanks - aboveground and underground	30	*	1 Jul 2010
Underground steel piping systems (incorporating pipes, fittings and manholes)	20	*	1 Jul 2010

*Food retailing* *(41100 to 41290)*
ASSET	LIFE (YEARS)	REVIEWED	DATE OF APPLICATION
Butchers' plant	20		1 Jan 2001

*Other store-based retailing* *(42110 to 42799)*
ASSET	LIFE (YEARS)	REVIEWED	DATE OF APPLICATION
Newspaper wrapping machines	10		1 Jan 2001
Paint tinting and colour blending machines (manual and automatic)	7	*	1 Jul 2014

References

ATO references:
NO 1-B8V6TGB

ISSN: 2205-6122

Related Rulings/Determinations:

TR 2018/4W
TR 2013/4
TR 2014/4
TR 2015/2
TR 2016/1
TR 2017/2

Subject References:
depreciation
depreciation rate
effective life

Business Line: PGI

Legislative References:
ITAA 1997
ITAA 1997 Div 40
ITAA 1997 40-25
ITAA 1997 40-70(1)
ITAA 1997 40-72(1)
ITAA 1997 40-75(1)
ITAA 1997 40-95
ITAA 1997 40-95(4)
ITAA 1997 40-95(5)
ITAA 1997 40-95(7)
ITAA 1997 40-100
ITAA 1997 40-100(5)
ITAA 1997 40-100(6)(b)
ITAA 1997 40-102
ITAA 1997 40-102(4)
ITAA 1997 40-102(4A)
ITAA 1997 40-105
ITAA 1997 40-110
ITAA 1997 40-345(2)
TAA 1953

Other References:
Income Tax (Effective Life of Depreciating Assets) Amendment Determination 2018 (No. 1)

Copyright notice

You are free to copy, adapt, modify, transmit and distribute material on this website as you wish (but not in any way that suggests the ATO or the Commonwealth endorses you or any of your services or products).