Section EE 51 — Income Tax Act 2007: Amount of depreciation recovery income when lost or stolen items recovered

EE 51 Amount of depreciation recovery income when lost or stolen items recovered When this section applies (1) This section applies when an item of property to which section EE 47(3) applies— (a) is recovered in a later income year; and (b) is still owned by the person; and (c) is still used or available for use by the person. Person treated as acquiring item (2) The person is treated as having acquired the item, on the date of recovery, for its adjusted tax value at the start of the income year in which it was lost or stolen. Person treated as deriving income: amount (3) The person is treated as deriving an amount of depreciation recovery income equal to the amount of depreciation loss that the person has under section EE 48(2) for which they have been allowed a deduction. Person treated as deriving income: income year (4) The income year in which the person derives the depreciation recovery income is— (a) the income year in which the item is lost or stolen, if the person chooses that year; or (b) the income year in which the item is recovered, in any other case. Defined in this Act: adjusted tax value , amount , deduction , depreciation loss , depreciation recovery income , income year , own , property , Compare: 2004 No 35 s EE 43