APS: What is the difference between ownership and allocation of assets?

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  • Updated 4 years ago
What is the difference between ownership and allocation of assets?

Ownership refers to whether the taxpayer owns the asset in his/her own right or whether the taxpayer shares the assets with other co-owners. If a taxpayer owns 50% of the asset, Advance Tax will allocate 50% of the cost and 50% of the capital allowance that is applicable to the taxpayer.




Once the specific amounts (e.g. capital allowance) has been worked out, allocation refer to the specific area in the tax return that this amounts should be disclosed.

For example, the capital allowance for Test Asset can be allocated to Any other deductions.



As a result, the capital allowance of $51,340 will show up in D15- Other Deductions in the Individual tax return.


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Posted 4 years ago

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