Taxation Ruling

TR 2022/1

Income tax: effective life of depreciating assets (applicable from 1 July 2022)

  • Please note that the PDF version is the authorised version of this ruling.
    This Ruling, which applies from 1 July 2022, replaces TR 2021/3 (see paragraph 6 of this Ruling for further details).

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
Plastic safety screens (including sneeze guards) 2     *     1 Jul 2022
Power supply assets, emergency or standby:
    Generator assets - see Table B Power supply assets
    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 driers and dehumidifiers 10     *     1 Jul 2011
    Air receivers 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
Supermarket and grocery stores
(41100)
ASSET LIFE
(YEARS) 		REVIEW DATE OF
APPLICATION
Bakery assets:
    Bakery display assets, non-refrigerated (including freestanding display cabinets, cases, racks, shelves and stands) 10     *     1 Jul 2020
    Bakery trolleys 12     *     1 Jul 2020
    Bread slicers 10     *     1 Jul 2020
    Bun divider rounders 10     *     1 Jul 2020
    Doughnut making machines 8     *     1 Jul 2020
    Hydraulic dough dividers 10     *     1 Jul 2020
    Mixers (including planetary and spiral mixers) 10     *     1 Jul 2020
    Moulders 12     *     1 Jul 2020
    Ovens 10     *     1 Jul 2020
    Provers and retarder provers 8     *     1 Jul 2020
Butcher assets:
    Bandsaws 10     *     1 Jul 2020
    Meat:
        Mincers 10     *     1 Jul 2020
        Tenderisers 10     *     1 Jul 2020
    Meat trolleys 12     *     1 Jul 2020
    Sausage filling machines 10     *     1 Jul 2020
Deli Assets:
    Cheese cutters 10     *     1 Jul 2020
    Cheese graters 10     *     1 Jul 2020
    Coffee making machines (including espresso and drip filter type machines) 5     *     1 Jul 2020
    Contact grills 10     *     1 Jul 2020
    Deep fryers 10     *     1 Jul 2020
    Deli slicers 10     *     1 Jul 2020
    Hot food display assets (including bain marie, hot boxes and pie warmers) 10     *     1 Jul 2020
    Juicing machines, commercial type 8     *     1 Jul 2020
    Ovens (including chicken ovens and smoker ovens) 10     *     1 Jul 2020
    Popcorn machines 8     *     1 Jul 2020
    Sushi making assets (including rice cookers, rice mixers and sushi robots) 7     *     1 Jul 2020
Produce assets:
    Display barrels 10     *     1 Jul 2020
    Produce bins 12     *     1 Jul 2020
    Scales (including bench scales and hanging scales) 8     *     1 Jul 2020
Refrigeration and freezing assets:
    Compressors, condensers and evaporators 10     *     1 Jul 2020
    Freezers and refrigerators generally (including refrigeration cabinets and cases, standalone chillers, standalone freezers and standalone refrigerators) 10     *     1 Jul 2020
    Insulation panels used in cool or freezer rooms 30     *     1 Jul 2020
    Night blinds/covers 10     *     1 Jul 2020
Support and other assets:
    Automatic entrance swing gates 10     *     1 Jul 2020
    Balers (for cardboard and plastic) - see Table B Warehouse and distribution centre equipment and machines
    Benches (stainless steel), free standing 20     *     1 Jul 2020
    Bin lifters 15     *     1 Jul 2020
    Cash handling assets:
        Coin counters and sorters 10     *     1 Jul 2020
        Note counters and sorters 10     *     1 Jul 2020
        Safes 15     *     1 Jul 2020
    Cigarette cabinets, free standing 15     *     1 Jul 2020
    Counters, free standing (including checkout and service counters) 10     *     1 Jul 2020
    Dishwashers 10     *     1 Jul 2020
    Display racks and stands (including magazine racks/stands) 10     *     1 Jul 2020
    Hot water systems (excluding piping) 12     *     1 Jul 2020
    Label printers 5     *     1 Jul 2020
    Label printing scales 8     *     1 Jul 2020
    Labelling guns 5     *     1 Jul 2020
    Microwave ovens 5     *     1 Jul 2020
    Nut grinders/peanut butter makers 5     *     1 Jul 2020
    Packaging assets:
        Automatic labelling wrappers, modified atmosphere packaging (MAP) and vacuum chamber packaging machines 10     *     1 Jul 2020
        Benchtop heat wrappers 10     *     1 Jul 2020
    Point of sale assets:
        Generally (excluding self-checkout registers) - see Table B Point of sale assets
        Self-checkout registers 6     *     1 Jul 2020
    Power generators (emergency or standby) 20     *     1 Jul 2020
    Racking 20     *     1 Jul 2020
    Range hood exhaust fans 12     *     1 Jul 2020
    Safety steps 10     *     1 Jul 2020
    Shelving 15     *     1 Jul 2020
    Signage:
        Aisle signs 7     *     1 Jul 2020
        Others (such as advertising signs and signage for business identification) - see Table B Advertising signs
    Stock ladders 12     *     1 Jul 2020
    Trolleys, customer shopping type 7     *     1 Jul 2020
    Trolleys, stock type (including roll cages, platform trolleys, etc) 10     *     1 Jul 2020
    UV insect exterminators 7     *     1 Jul 2020
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-SY3H7A0

Previous Rulings/Determinations:
TR 2017/2
TR 2018/4
TR 2019/5
TR 2020/3
TR 2021/3

ISSN: 2205-6122

Subject References:
depreciation
depreciation rate
effective life

Business Line:  PGI

Legislative References:
ITAA 1997 Div 40
ITAA 1997 40-25
ITAA 1997 40-25(7)
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 40-102(5)
ITAA 1997 40-105
ITAA 1997 40-110
ITAA 1997 40-345(2)
IT(TP)A 1997 Subdiv 40-BB

Other References:
Income Tax (Effective Life of Depreciating Assets) Amendment Determination (No 1) 2022

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