Section 328‑180 Assets costing less than $1,000 - Minerals Resource Rent Tax Repeal and Other Measures Act 2014 - 328‑180 Assets costing less than $1,000 | Zoe
Note: Example: Amanda’s Graphics is a small business entity for the 2014‑15 income year and chooses to use this Subdivision for that year. The business has an opening pool balance of $8,500 for its general small business pool for that year.
Note: During that year, Amanda acquired a new computer for $2,000. The taxable purpose proportion of its adjustable value is:
Note: $2,000 x 80% business use estimate = $1,600
Note: Amanda also sold her business car for $9,600 during that year. The car was used 100% in the business.
Note: To work out whether she can deduct an amount under this section, Amanda uses this calculation:
Note: $8,500 + $1,600 ‑ $9,600 = $500
Note: Because the result is less than $1,000, Amanda can deduct the $500 for the income year. The pool’s closing balance for the year is zero.
7 Subsection 328‑215(4)
Omit “$6,500”, substitute “$1,000”.
8 Subsection 328‑250(1)
Omit “$6,500”, substitute “$1,000”.
9 Subsection 328‑250(4) (heading)
Repeal the heading, substitute:
Special rule for assets costing less than $1,000
10 Subsection 328‑253(4) (heading)
Repeal the heading, substitute:
Special rule for expenditure on assets costing less than $1,000
11 Application of amendments
(1) Subject to subitems (2) and (3), the amendments made by this Schedule apply to a depreciating asset if:
(a) the asset was first installed ready for use, for a taxable purpose, on or after the application day; or
(b) the asset was first used, for a taxable purpose, on or after the application day, but was not installed ready for use prior to the application day.
(2) The amendments made by item 4 of this Schedule apply to an amount if the amount is included in the second element of the cost of a depreciating asset at any time on or after the application day.
(3) The amendments made by items 5 and 6 of this Schedule apply to assessments for the income year before the income year in which this Schedule commences, for the income year in which this Schedule commences or for a later income year.
(4) In this item:
application day means 1 January in the income year before the income year in which this Schedule commences.
Omit “, and subsection 328‑237(2) (if relevant),”.
3 Group heading before section 328‑237
Repeal the heading.
4 Section 328‑237
Repeal the section.
5 Subsection 328‑250(1)
Omit “, subsection 328‑190(2) (assets that will be pooled) or subsection 328‑237(2) (certain motor vehicles)”, substitute “or subsection 328‑190(2) (assets that will be pooled)”.
6 Subsection 328‑250(2)
Omit “, 328‑190(2) or 328‑237(2)”, substitute “or 328‑190(2)”.
7 Paragraph 328‑250(3)(b)
Omit “, 328‑190(2) or 328‑237(2)”, substitute “or 328‑190(2)”.
8 Application of amendments
(1) The amendments made by this Schedule apply to a depreciating asset that is a motor vehicle if:
(a) the asset was first installed ready for use, for a taxable purpose, on or after the application day; or
(b) the asset was first used, for a taxable purpose, on or after the application day, but was not installed ready for use prior to the application day.
(2) In this item:
application day means 1 January in the income year before the income year in which this Schedule commences.
(2) Your assessable income includes an amount you receive for providing *geothermal exploration information you have to another entity if:
(a) you continue to have the information; and
(b) the information is, and continues to be, relevant to:
(i) *geothermal energy extraction that you carry on or propose to carry on; or
(ii) a *business that you carry on that includes *exploration or prospecting for *geothermal energy resources from which energy can be extracted by geothermal energy extraction; and
(c) the amount you receive is not assessable as *ordinary income under section 6‑5.
It does not matter whether the information is generally available or not.
(3) Geothermal exploration information is geological, geophysical or technical information that:
(a) relates to the presence, absence or extent of *geothermal energy resources in an area; or
(b) is likely to help in determining the presence, absence or extent of such resources in an area.
(4) Geothermal energy extraction means operations that are for:
(a) the extraction of energy from *geothermal energy resources; and
(b) the *purpose of producing assessable income.
5 Paragraphs 40‑30(2)(ba) and (bb)
Repeal the paragraphs.
6 Section 40‑40 (table item 9A)
Repeal the item.
7 Subsection 40‑80(1A)
Repeal the subsection.
8 Subsection 40‑290(5)
Repeal the subsection, substitute:
Exception: mining, quarrying or prospecting information
(5) This section does not apply to *mining, quarrying or prospecting information.
9 Subsection 40‑300(2) (table item 12)
Repeal the item.
10 Paragraph 40‑630(1)(b)
Omit “or *geothermal energy extraction”.
11 Subsection 40‑630(1) (note)
Omit “or geothermal energy extraction”.
12 Paragraphs 40‑630(1A)(b), (1B)(b) and (3)(b)
Omit “or *geothermal energy extraction”.
13 Paragraph 40‑650(3)(a)
Omit “or *geothermal energy extraction”.
14 Paragraph 40‑650(3)(b)
Omit “or that extraction”.
15 Subsection 40‑730(1) (heading)
Repeal the heading.
16 Subsections 40‑730(2A) and (2B)
Repeal the subsections.
17 Subsection 40‑730(3)
Repeal the subsection, substitute:
(3) Also, you cannot deduct expenditure under subsection (1) to the extent that it forms part of the *cost of a *depreciating asset.
18 Paragraph 40‑730(4)(b)
Omit “and for *geothermal energy resources”.
19 Paragraph 40‑730(4)(c)
Omit “, or of extracting energy from geothermal energy resources,”.
20 Paragraph 40‑730(4)(d)
Omit “materials; and”, substitute “materials.”.
21 Paragraph 40‑730(4)(e)
Repeal the paragraph.
22 Subsections 40‑730(7A), (7B) and (9)
Repeal the subsections.
23 Subparagraph 43‑70(2)(fa)(iv)
Omit “or (1A)”.
24 Section 112‑38
Repeal the section.
25 After paragraph 124‑710(1)(a)
Insert:
(aa) an authority, licence, permit or entitlement under an Australian law to prospect or explore for \*geothermal energy resources in an area; or
26 Paragraph 124‑710(1)(b)
After “minerals”, insert “or geothermal energy resources”.
27 Paragraph 124‑710(1)(c)
After “(a)”, insert “, (aa)”.
28 After paragraph 124‑710(2)(a)
Insert:
(aa) an authority, licence, permit or entitlement under an Australian law to extract energy from \*geothermal energy resources in an area; or
29 Paragraph 124‑710(2)(b)
After “minerals”, insert “, or extract energy from geothermal energy resources,”.
30 Paragraph 124‑710(2)(c)
After “(a)”, insert “, (aa)”.
31 Paragraph 165‑55(2)(ba)
Repeal the paragraph.
32 Paragraphs 716‑300(1)(b) and (c)
Omit “or (1A)”.
33 Subsection 716‑300(1) (note)
Omit “Subsections 40‑80(1) and (1A), which are in that Subdivision, provide”, substitute “Subsection 40‑80(1), which is in that Subdivision, provides”.
34 Subsection 995‑1(1) (definition of geothermal energy extraction)
Omit “40‑730(7B)”, substitute “15‑40(4)”.
35 Subsection 995‑1(1) (definition of geothermal energy extraction right)
Repeal the definition.
36 Subsection 995‑1(1) (definition of geothermal energy resources)
Repeal the definition, substitute:
geothermal energy resources means matter occurring naturally within the Earth and containing energy as heat.
37 Subsection 995‑1(1) (definition of geothermal exploration information)
Omit “40‑730(9)”, substitute “15‑40(3)”.
38 Subsection 995‑1(1) (definition of geothermal exploration right)
Repeal the definition.
39 Application and saving provisions
(1) The amendments of sections 40‑30, 40‑80 and 40‑290 of the Income Tax Assessment Act 1997 by this Schedule do not affect deductions or balancing adjustments for geothermal exploration rights or geothermal exploration information that started to be held before the income year in which this Schedule commences.
(2) The amendments of sections 40‑630 and 40‑650 of the Income Tax Assessment Act 1997, and the repeal of subsection 40‑730(2A) of that Act, by this Schedule apply to expenditure incurred during the income year in which this Schedule commences or a later income year.
(3) The amendments by this Schedule affecting sections 112‑38 and 124‑710 of the Income Tax Assessment Act 1997 apply in relation to authorities, licences, permits and entitlements held during the income year in which this Schedule commences or a later income year.
The amendment made by this Schedule applies for the purpose of calculations under section 19 of the Superannuation Guarantee (Administration) Act 1992 for quarters starting on or after 1 July 2015.
Schedule 7—Low income superannuation contribution
Superannuation (Government Co‑contribution for Low Income Earners) Act 2003
1 Subsection 5(2)
Omit:
• Part 2A (sections 12B to 12G) tells you who are the people entitled to a low income superannuation contribution. It also tells you how much the low income superannuation contribution is.
2 Part 2A
Repeal the Part.
3 Subsection 49(1)
Omit “Part 2A,”.
4 Section 55 (note)
Repeal the note.
5 Section 56 (definition of concessional contributions)
Repeal the definition.
6 Section 56 (definition of low income superannuation contribution)
Repeal the definition.
7 Application of amendments
(1) The amendments made by this Schedule apply in relation to concessional contributions for financial years starting on or after 1 July 2017.
(2) However, section 12G of the Superannuation (Government Co‑contribution for Low Income Earners) Act 2003 ceases to apply, in relation to low income superannuation contributions for any quarter or financial year, at the commencement of this Schedule.
Note: Section 12G requires the Commissioner to give reports to the Minister for presenting to the Parliament. This subitem ensures that reporting under that section is required up to, but not after, the commencement of this Schedule.
(3) For the purposes of this item, concessional contributions has the same meaning as in the Income Tax Assessment Act 1997.
9 Transitional—Deadlines for the final financial year for a LISC
Determining that a LISC is payable
(1) The Commissioner must not determine under section 13 of the Superannuation (Government Co‑contribution for Low Income Earners) Act 2003 that a low income superannuation contribution is payable unless the Commissioner becomes satisfied, before 1 July 2019, that the contribution is payable.
Determining that an underpaid amount of LISC is payable
(2) The Commissioner must not determine under section 19 of the Superannuation (Government Co‑contribution for Low Income Earners) Act 2003 that an underpaid amount is to be paid unless the Commissioner becomes satisfied, before 1 July 2019, that the amount paid is less than the correct amount of low income superannuation contribution.
Schedule 8—Repeal of income support bonus
Part 1—Main amendments
Social Security Act 1991
1 Subsection 23(1) (definition of income support bonus)
Repeal the definition.
2 Subsection 23(1) (definition of income support bonus test day)
Repeal the definition.
3 Paragraph 23(4AA)(ac)
Repeal the paragraph.
4 Part 2.18B
Repeal the Part.
5 Section 1190 (table item 71)
Repeal the item.
6 Subsection 1191(1) (table item 43)
Repeal the item.
7 Subsection 1192(10)
Repeal the subsection.
Social Security (Administration) Act 1999
8 Section 12L
Repeal the section.
9 Subsection 47(1) (paragraph (l) of the definition of lump sum benefit)
Omit “payment; or”, substitute “payment.”.
10 Subsection 47(1) (paragraph (m) of the definition of lump sum benefit)
Repeal the paragraph.
11 Section 47DAB
Repeal the section.
Part 2—Consequential amendments
Farm Household Support (Consequential and Transitional Provisions) Act 2014
12 Subsection 2(1) (table item 4)
Repeal the item.
13 Item 139 of Schedule 2
Repeal the item.
Income Tax Assessment Act 1997
15 Section 11‑15 (table item headed “social security or like payments”)
Omit:
income support bonus under the Social Security Act 1991
52‑10
income support bonus under the scheme prepared under Part VII of the Veterans’ Entitlements Act 1986
52‑65
income support bonus under the scheme determined under section 258 of the Military Rehabilitation and Compensation Act 2004
52‑114
16 Paragraph 52‑10(1)(zb)
Omit “1991; or”, substitute “1991.”.
17 Paragraph 52‑10(1)(zc)
Repeal the paragraph.
18 Subsection 52‑10(1M)
Repeal the subsection.
19 Paragraph 52‑65(1)(c)
Repeal the paragraph.
20 Subsection 52‑65(1K)
Repeal the subsection.
21 Section 52‑75 (table item 5D)
Repeal the item.
22 Section 52‑114 (table item 16A)
Repeal the item.
Social Security Act 1991
23 Paragraph 1231(1AA)(b)
Omit “, training and learning bonus or income support bonus”, substitute “or training and learning bonus”.
Social Security (Administration) Act 1999
24 Section 123TC (paragraph (f) of the definition of category I welfare payment)
Repeal the paragraph.
25 Section 123TC (paragraph (aa) of the definition of category Q welfare payment)
Repeal the paragraph.
Part 3—Saving provisions
26 Saving provisions
(1) If, before the commencement of this item, a person was, under Part 2.18B of the Social Security Act 1991, qualified for an income support bonus on an income support bonus test day occurring before that commencement, then, despite the amendments made by Parts 1 and 2 of this Schedule, that Act and the Social Security (Administration) Act 1999, as in force immediately before that commencement, continue to apply on and after that commencement in relation to that qualification.
(3) Despite the amendment made by item 18, subsection 52‑10(1M) of the Income Tax Assessment Act 1997, as in force immediately before the commencement of this item, continues to apply on and after that commencement in relation to payments of income support bonus made before, on or after that commencement under the Social Security Act 1991.
(4) Despite the amendment made by item 20, subsection 52‑65(1K) of the Income Tax Assessment Act 1997, as in force immediately before the commencement of this item, continues to apply on and after that commencement in relation to payments of income support bonus made before, on or after that commencement under the scheme prepared under Part VII of the Veterans’ Entitlements Act 1986.
(5) Despite the amendment made by item 22, item 16A of the table in section 52‑114 of the Income Tax Assessment Act 1997, as in force immediately before the commencement of this item, continues to apply on and after that commencement in relation to payments of income support bonus made before, on or after that commencement under the scheme determined under section 258 of the Military Rehabilitation and Compensation Act 2004.
(6) Despite the amendments made by items 24 and 25:
(a) paragraph (f) of the definition of category I welfare payment in section 123TC of the Social Security (Administration) Act 1999, as in force immediately before the commencement of this item; and
(b) paragraph (aa) of the definition of category Q welfare payment in that section as so in force;
continue to apply on and after that commencement in relation to payments of income support bonus made before, on or after that commencement.
Schedule 9—Schoolkids bonus
Part 1A—Amendments
A New Tax System (Family Assistance) Act 1999
1A At the end of subsection 35UA(1) (before the note)
Add:
; and (d) the individual’s adjusted taxable income for the income year in which the bonus test day occurs is $100,000 or less.
1B At the end of subsection 35UA(2)
Add:
; and (g) the affected parent’s adjusted taxable income for the income year in which the bonus test day occurs is $100,000 or less.
1C After subsection 35UA(2)
Insert:
(2A) For the purposes of paragraph (2)(g), the affected parent is the person:
(a) who is a parent of the other individual, being a parent within the meaning of paragraph (b) of the definition of parent in subsection 5(1) of the Social Security Act 1991; and
(b) who is nominated in writing by the Secretary.
1D At the end of subsection 35UA(3)
Add:
; and (h) the individual’s adjusted taxable income for the income year in which the bonus test day occurs is $100,000 or less.
1E At the end of subsection 35UA(4)
Add:
; and (h) the other individual’s adjusted taxable income for the income year in which the bonus test day occurs is $100,000 or less.
1F After subsection 35UA(4)
Insert:
(4AA) Paragraph (4)(h) does not apply if the instalment referred to in paragraph (4)(a) is an instalment of disability support pension and the other individual is permanently blind.
1G At the end of subsection 35UE(1)
Add:
; and (h) the individual’s adjusted taxable income for the income year in which the bonus test day occurs is $100,000 or less.
1H At the end of subsection 35UE(2)
Add:
; and (g) the individual’s adjusted taxable income for the income year in which the bonus test day occurs is $100,000 or less.
1J At the end of subsection 35UE(3)
Add:
; and (i) the individual’s adjusted taxable income for the income year in which the bonus test day occurs is $100,000 or less.
1K After subsection 35UE(3)
Insert:
(3A) Paragraph (3)(i) does not apply if the instalment referred to in paragraph (3)(a) is an instalment of disability support pension and the individual is permanently blind.