Commonwealth Consolidated Acts Commonwealth Consolidated Acts(1) If a * depreciating asset you * hold is split into 2 or more assets, this Division applies as if you had stopped holding the original asset and started holding the assets into which it is split.
Note 1: For the cost of the split assets, see section 40 - 205.
Note 2: A balancing adjustment event does not occur just because you split a depreciating asset: see section 40 - 295.
(2) If you stop * holding part of a * depreciating asset, this Division applies as if, just before you stopped holding that part, you had split the original asset into the part you stopped holding and the rest of the original asset. (The rest of the original asset is then taken to be a different asset from the original asset.)
Example: Bronwyn sells Tim a part interest in a depreciating asset she owns. They become joint holders under section 40 - 35. She is taken to have split the underlying asset into the interest she retains and the interest Tim buys. She now holds an interest (a new depreciating asset) in the underlying asset and is taken to have stopped holding the interest sold.
(3) If you grant or assign an interest in an item of * intellectual property, subsection (2) applies to you as if you had stopped * holding part of the item.