Section EJ 15 — Income Tax Act 2007: Disposal of petroleum mining asset

EJ 15 Disposal of petroleum mining asset When this section applies (1) This section applies when a petroleum miner disposes of a petroleum mining asset. Amount, and timing, of deduction (2) Part of a deduction under section DT 5 (Petroleum development expenditure) is allocated to the income year in which the miner disposes of the asset. The part is that to which both the following apply: (a) it is attributable to the asset; and (b) it has not been allocated under section EJ 12 or EJ 12B to the income year in which the miner disposes of the asset or to an earlier income year. Allocation to more than 1 year (3) If the petroleum miner’s income from disposing of the asset is derived in 2 or more income years,— (a) the amount of the deduction is allocated among the income years in which the miner derives the income; and (b) the amount allocated to each income year bears the same relation to the total amount of the deduction as the income that the miner derives in that income year bears to the total amount of income that the miner derives from the disposal. Relationship with section EJ 16 (4) This section is overridden by section EJ 16 . Defined in this Act: amount , deduction , dispose , income , income year , petroleum miner , petroleum mining asset Compare: 2004 No 35 s EJ 13 Section EJ 15(2)(b): substituted (with effect on 1 April 2008), on 6 October 2009, by section 130(1) of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34).