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DZ 17: Expenditure on improvements to aquacultural business before 1995–96 income year
or “Tax deduction for pre-1996 aquaculture business improvements”
You could also call this:

“Money back for pre-1995 forestry land improvements”

You can get money back on improvements you made to forestry land before the 1995-96 tax year. This applies if you spent money on making the land better for forestry before that time.

To get this money back, the improvement must be something that you could claim for if you had done it in the 1995-96 tax year or later. The rules for this are in section DP 3.

The amount you can claim is worked out using a special calculation. You multiply three things: 125%, a percentage from a list, and the reduced value of your improvement. The percentage comes from a table in schedule 20, part G.

This rule lets you claim for these old improvements even though they happened a long time ago. However, you still need to follow the general rules about what you can claim for in your taxes.

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Next up: DZ 19: Attributed CFC loss carried back under section EZ 32C

or “Using past overseas company losses to reduce earlier tax bills”
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Part D Deductions
Terminating provisions

DZ 18Expenditure on improvements to forestry land before 1995–96 income year

  1. This section applies in an income year when a person incurs expenditure—

  2. before the 1995–96 income year in making an improvement on land; and
    1. for which they would be allowed under section DP 3 (Improvements to forestry land) a deduction in the income year if the expenditure had been incurred in the 1995–96 income year or a later income year.

      1. The person is allowed a deduction in the income year of an amount calculated using the formula—

        125% × schedule percentage × diminished value.

        Where:

        • In the formula,—

        • schedule percentage is the percentage set out opposite the description of the improvement in schedule 20, part G, column 2 (Expenditure on farming, horticultural, aquacultural, and forestry improvements):
          1. diminished value is the diminished value of the improvement.

            1. This section overrides the capital limitation. The general permission must still be satisfied and the other general limitations still apply.

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