Section DB 49 — Income Tax Act 2007: Adjustment for opening values of trading stock, livestock, and excepted financial arrangements

DB 49 Adjustment for opening values of trading stock, livestock, and excepted financial arrangements When this section applies (1) This section applies when a person has some or all of the following at the start of an income year: (a) trading stock valued under subpart EB (Valuation of trading stock (including dealer’s livestock)): (b) livestock valued under subpart EC (Valuation of livestock): (c) excepted financial arrangements that are revenue account property valued under subpart ED (Valuation of excepted financial arrangements): (d) a share supplier’s share-lending right, if the original shares that relate to the right are excepted financial arrangements described in paragraph (c). Deduction: opening value of trading stock (2) The person is allowed a deduction in the income year for the value that the trading stock had at the end of the previous income year, as calculated under section EB 3 (Valuation of trading stock). Deduction: opening value of livestock (3) The person is allowed a deduction in the income year for the value that the livestock had at the end of the previous income year, as calculated under section EC 2 (Valuation of livestock). Deduction: opening value of excepted financial arrangements (4) The person is allowed a deduction in the income year for the value that the excepted financial arrangements or share-lending right had at the end of the previous income year, as calculated under section ED 1 (Valuation of excepted financial arrangements). Link with subpart DA (5) This section supplements the general permission. The general limitations still apply. Defined in this Act: deduction , excepted financial arrangement , general limitation , general permission , income year , original share , revenue account property , share-lending right , share supplier , supplement , trading stock , Compare: 2004 No 35 s DB 40