Commonwealth Consolidated Acts Commonwealth Consolidated Acts(1) You may choose to allocate to a project pool all the * depreciating assets (the pooled assets ) that:
(a) you * held when the * Timor Sea Maritime Boundaries Treaty entered into force; and
(b) before that treaty entered into force, you used, or had * installed ready for use, for a purpose of undertaking * transitioned petroleum activities.
(2) You must choose by the day you lodge your * income tax return for the income year (the initial income year ) in which that treaty entered into force.
(3) The choice is irrevocable.
(4) If you make the choice, for the purposes of Division 40 and section 417 - 30:
(a) the pooled assets are taken to be a single * depreciating asset that you * hold; and
(b) the single asset is taken to be used, or * installed ready for use, for the same purpose as the purpose for which the pooled assets were used, or installed ready for use, when the * Timor Sea Maritime Boundaries Treaty entered into force; and
(c) the * cost of the single asset is taken to be an amount equal to the sum of the * adjustable values of all of the pooled assets when that treaty entered into force; and
(d) the decline in value of the single asset is taken to be:
(i) for the initial income year--40% of its cost; and
(ii) for the next income year--40% of its cost; and
(iii) for the income year after that next income year--20% of its cost; and
(e) a * balancing adjustment event cannot occur for the single asset; and
(f) a * CGT event cannot occur for the single asset; and
(g) amounts are not deductible, by you or any other entity, for declines in value of any of the assets allocated to the pool for:
(i) the part of the initial income year occurring on or after the entry into force of that treaty; or
(ii) any subsequent income year.
(5) The transfer of a pooled asset to another entity does not affect the operation of subsection (4) in relation to the single asset.