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On 13 May 2021 XYZ Pty Ltd purchased a disused warehouse for $1,500,000. Due to the need to install heavy manufacturing equipment on the floor,
- On 13 May 2021 XYZ Pty Ltd purchased a disused warehouse for $1,500,000. Due to the need to install heavy manufacturing equipment on the floor, XYZ spent $400,000 in resurfacing and strengthening part of the floor. XYZ is unsure as to whether the amount may be claimed as a deduction.
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Advise XYZ of what course of action it should take. Discuss the relevant legislation and case law to support your answer
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