Commonwealth Consolidated Acts Commonwealth Consolidated Acts(1) You can deduct the amount worked out under subsection (2) for a * horticultural plant for an income year if its * effective life is 3 years or more and it is destroyed during the income year while you own it and use it for * commercial horticulture.
(2) Work out your deduction as follows:
Method statement
Step 1. Work out the total of the amounts you could have deducted under this Subdivision for the * horticultural plant for the period:
(a) starting when the plant could first be used for * commercial horticulture; and
(b) ending when it was destroyed;
assuming that, during that period, you satisfied a condition in section 40 - 525 for the plant and used it for commercial horticulture.
Step 2. Subtract from the capital expenditure that is attributable to the establishment of the * horticultural plant:
(a) the result from step 1; and
(b) any amount you received (under an insurance policy or otherwise) for the destruction.
The remaining amount (if any) is your deduction under subsection (1).
(3) This deduction is in addition to any deduction for the
income year under section 40 - 545.