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).

R

R
ASSET	LIFE (YEARS)	REVIEWED	DATE OF APPLICATION
Racehorses:
Flat racing (thoroughbred horses)	5	*	1 Jul 2021
Harness racing (standardbred horses)	7	*	1 Jul 2021
Jumps racing (thoroughbred horses)	10	*	1 Jul 2021
Lead and companion ponies (horses)	5	*	1 Jul 2021
Rainwater tanks:
Galvanised steel	25	*	1 Jul 2019
Polyethylene	15	*	1 Jul 2019
Refrigeration assets:
Compressors, condensers, evaporators etc	15	*	1 Jul 2014
Insulation panels used in cool or freezer rooms	40	*	1 Jul 2014
Robots (industrial)	10	*	1 Jul 2014

S
ASSET	LIFE (YEARS)	REVIEWED	DATE OF APPLICATION
Saws, bench and mitre, portable	7	*	1 Jul 2008
Security and monitoring assets:
Access control systems:
Code pads	5	*	1 Jul 2004
Door controllers	5	*	1 Jul 2004
Readers:
Proximity	7	*	1 Jul 2004
Swipe card	3	*	1 Jul 2004
Ballistic and blast resistant screens and barriers (including fixed and rising types) not forming part of the building	20	*	1 Jul 2014
CCTV systems:
Cameras	4	*	1 Jul 2004
Monitors	4	*	1 Jul 2004
Recorders:
Digital	4	*	1 Jul 2004
Time lapse	2	*	1 Jul 2004
Switching units (including multiplexers)	5	*	1 Jul 2004
Security systems:
Code pads	5	*	1 Jul 2004
Control panels	5	*	1 Jul 2004
Detectors (including glass, passive infrared and vibration)	5	*	1 Jul 2004
Global system for mobiles (GSM) units	5	*	1 Jul 2004
Noise maker (including alarms and bells)	5	*	1 Jul 2004
Sewing machines	10	*	1 Jul 2014
Signage for business identification (including lighting for signs) - see Table B Advertising signs
Silos:
Bulk handling:
Ancillary mechanical assets (including augers, bucket elevators, conveyors etc)	15	*	1 Jul 2014
Concrete construction	50	*	1 Jan 2004
Galvanised construction	30	*	1 Jan 2004
Steel construction	40	*	1 Jan 2004
Solar photovoltaic electricity generation system assets	20	*	1 Jul 2011
Spas used as plant in a business (incorporating blowers, controls, filters, heaters and pumps)	17	*	1 Jul 2014
Spray booths	15	*	1 Jul 2014
Stacks (chimney stacks, exhaust stacks, flues etc):
Concrete stacks (including concrete reinforced stacks)	30	*	1 Jul 2014
Flare stacks	25	*	1 Jul 2014
Reinforced plastic stacks	25	*	1 Jul 2014
Steel stacks (steel flues)	20	*	1 Jul 2014
Suitcases	10	*	1 Jul 2013
Swimming pool assets:
Chlorinators	12	*	1 Jul 2004
Cleaning assets	7	*	1 Jul 2004
Covers (including blankets)	8	*	1 Jul 2019
Filtration assets (including pumps)	12	*	1 Jul 2004
Heaters:
Electric	15	*	1 Jul 2004
Gas	15	*	1 Jul 2004
Solar	20	*	1 Jul 2004
Swimming pools (used as plant in a business):
Above-ground	10	*	1 Jul 2005
Concrete	50	*	1 Jul 2005
Fibreglass	20	*	1 Jul 2005
Switchboards	20	*	1 Jul 2014
Synthetic lawn surfaces	5	*	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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