Section EC 7 — Income Tax Act 2007: Valuation methods

EC 7 Valuation methods Methods (1) The methods available for valuing specified livestock are— (a) the herd scheme described in sections EC 14 to EC 21 : (b) the national standard cost scheme described in sections EC 22 to EC 24 : (c) 1 of the cost price, replacement price, or market value methods described in section EC 25 : (d) the method described in section EC 26 . Person chooses (2) A person must choose which method to use, making their election by using the method chosen in their return of income for the income year. Election continues (3) When a person chooses a valuation method, that method continues to apply in the following income years unless they choose another method that is available to them. Commissioner’s determination (4) If a person chooses a valuation method that is not available to them and they later make no effective election, the Commissioner must determine the method to be used. In doing so, the Commissioner must consult the person. Restrictions (5) Restrictions apply to the use of valuation methods, as described in sections EC 8 to EC 10 , and the making of elections, as described in section EC 11 . Defined in this Act: Commissioner , cost price , herd scheme , income year , national standard cost scheme , return of income , specified livestock , Compare: 2004 No 35 s EC 7