Section EE 25 — Income Tax Act 2007: Depreciation loss for plant variety rights application granted in 2005–06 or later income year

EE 25 Depreciation loss for plant variety rights application granted in 2005–06 or later income year When this section applies (1) This section applies when— (a) plant variety rights are granted to a person in their 2005–06 income year or a later income year; and (b) the rights are granted in relation to a plant variety rights application owned by the person; and (c) a deduction for expenditure is denied under another provision. Calculation of deduction (2) For the income year in which the plant variety rights are granted, the person is allowed a deduction for expenditure on the plant variety rights application of an amount calculated using the formula— cost × months of ownership depreciation months. Definition of items in formula (3) In the formula,— (a) cost is the cost to the person of the plant variety rights application: (b) months of ownership is the number of whole calendar months for which the person owns the plant variety rights application: (c) depreciation months is the total of the number of months of ownership under paragraph (b) and the number of months in the term for which the plant variety rights are granted in relation to the plant variety rights application. Defined in this Act: amount , deduction , depreciation , income year , plant variety rights , Compare: 2004 No 35 s EE 24B