12Depreciated value

#### 12 Depreciated value (1) In this Subdivision, the depreciated value of a car at a particular time (the relevant time) is the amount worked out using the formula:  where: > A is: (a) if the car was owned by the person at the start of 1 July 1986—the depreciated value worked out under subsection (2); or (b) in any other case—the cost price of the car to the person. > B is the total amount of depreciation (if any) that would have been taken to have been incurred by the person in respect of the car for the period after the start of 1 July 1986 and before the relevant time when the person owned the car, if the depreciation taken to have been incurred for that period were calculated in accordance with subsection 11(1). (2) The depreciated value of a car owned by a person at the start of 1 July 1986 is the cost price of the car to that person, reduced by the total amount of depreciation that would have been taken to have been incurred by the person in respect of the car for the period before that time when it was owned by the person if: (a) the depreciation taken to have been incurred for that period were calculated in accordance with subsection 11(1); and (b) each year starting on 1 July were a year of tax.