Section EC 40 — Income Tax Act 2007: Later income years in breeding business

EC 40 Later income years in breeding business What this section applies to (1) This section applies to the income years that follow the first income year described in section EC 39 . Closing value (2) The closing value of the bloodstock is its opening value minus the reduction applying in that income year. Closing value not previously taken into account (3) If the person has not taken the closing value of the bloodstock into account in the previous income year, the closing value is the cost price of the bloodstock minus the reduction applying in the income year in which the person makes the calculation. Determination of reduction (4) The reduction that applies is determined under section EC 41 , EC 42 , EZ 5 , or EZ 6 (which relate to bloodstock). Defined in this Act: bloodstock , cost price , income year , Compare: 2004 No 35 s EC 40