Income Tax (Transitional Provisions) Act 1997

This section applies to a depreciating asset that is plant if:

you entered into a contract to acquire the plant, you otherwise acquired it or you started to construct it before 11.45 am, by legal time in the Australian Capital Territory, on 21 September 1999; and

you held it at the end of 30 June 2001; and

on or after 1 July 2001:

the plant is split into 2 or more depreciating assets; or

the plant is merged into another depreciating asset.

For a case where the plant is split into 2 or more depreciating assets, the new Act applies as if you had acquired the assets into which it is split before the time mentioned in paragraph (1)(a) while you continue to hold those assets.

For a case where the plant is merged into another depreciating asset, section 40‑125 of the new Act does not apply to the asset, or to your interest in the asset, into which it is merged while you continue to hold it.