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Maximus Holdings Ltd is a large project engineering company. The company has an annual turnover for the year ended 30 June 2021 of $7.2
Maximus Holdings Ltd is a large project engineering company. The company has an annual turnover for the year ended 30 June 2021 of $7.2 billion. On 2 February 2021, the company purchased the following assets for exclusive use in their engineering business: Asset Cost Tax Effective Life Norton's anti-virus software $940 5 years Motor vehicle Engineering equipment $120,000 $780,000 8 years 20 years The company has elected to self-assess the effective life of its depreciating assets for taxation purposes (as outlined above) and therefore does not want to use the Commissioner's effective lives as published in Taxation Ruling TR 2021/3. Assuming that Maximus Holdings Ltd wishes to maximise its depreciation deduction, what amount can the company claim under Division 40 of the ITAA (1997) in relation of the year ended 30 June 2021? Note: $22,133; $38,052; There are 149 days from 2 February 2021 to 30 June 2021. $44,164; $44,241.
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