CA23760 - PMA: Long life assets: Long-life asset pool

CAA01/S101 - S102

Expenditure on long-life assets is put into a separate pool. The long-life asset pool does not come to an end when the last long-life asset is sold. It continues until the actual trade ceases.

Writing down allowances are given on expenditure in the long-life asset pool on the reducing balance basis at a rate of 6%.

Long-life assets leased overseas, which would qualify for writing down allowances at the 10% rate, are added to the long-life asset pool rather than the pool for assets leased overseas. This means that they qualify for allowances at the 6% rather than the 10% rate.