AJ & PA McBride Ltd v CofT – No 100% write-off (deduction) for existing fences on a sheep station the taxpayer ‘acquired’

On 25 June 2020, the case of AJ & PA McBride Ltd v CofT was reported, where the AAT decided that the purchaser of a sheep station was not allowed an immediate deduction, under Subdiv 40-F of the ITAA 1997 (relating to ‘Primary production depreciating assets’), for the cost of the fences that were already on the property.

See below for a summary.

[Tax Month – June 2020]