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2006 correction to the rules covering the method for calculating depreciation rates on assets that have a residual value of more that 13.5 percent of cost.

Section EE 25E of the Income Tax Act 2004

The rules covering the method for calculating depreciation rates on assets that have a residual value of more that 13.5 percent of cost have been corrected.

The word "before" had been inserted in the legislation rather than the term "on or after". The correction means that section EE 25E applies to plant and equipment acquired on or after 1 April 2005 and buildings acquired on or after 19 May 2005. The rules apply for the 2005-06 and later income years.