Section DU 5 — Income Tax Act 2007: Non-mining asset used to derive income from mining

DU 5 Non-mining asset used to derive income from mining When this section applies (1) This section applies when— (a) a mining company starts to use, or starts again to use, an asset to derive income from mining; and (b) immediately before that, the company used the asset to derive income other than income from mining. Adjustment (2) The Commissioner may make an adjustment to any deduction of the mining company for the asset for the income year, as between the part of the income year in which the company used the asset to derive income from mining and the part of the income year in which the company did not use the asset to derive income from mining. Commissioner to consider (3) The adjustment must be of a kind that the Commissioner considers equitable, having regard to— (a) any deduction for an amount of depreciation loss that the company has been allowed; and (b) any other deduction that the company has been allowed for the cost of the asset; and (c) any other matters that the Commissioner considers relevant. Defined in this Act: amount , Commissioner , deduction , depreciation loss , income , income from mining , income year , mining company , Compare: 2004 No 35 s DU 5