65
force during the whole period of ownership of the asset
af
excluding any period during which the owner was deprived oft
use of the asset by reason of enemy cocupation.
(ii) the
Commissioner may in his discretion allow
a higher rate than that prescribed by the Board of Income Tax.
39. (1) Where, in or after the basis period for the year
of assesment 1947/48, any of the following events occurs in
the case of any machinery or plant in respect of which and
initial allowance or an amual allowance has been made for any
year of assessment to a person carrying on a trade, profession
or business, that is to say, either -
(a) the machinery or plant is sold, whether while still
in use or not; or
(b) the machinery or plant is destroyed; or
(c) the machinery or plant is put out of use as being
worn out or obsolete or otherwise useless or no longer
required,
and he event in question occurs before the trade, profession
or business is permanently discontimed, an allowance or charge,
be know as "balancing allowance" or a "balancing charge*
shall in the circumstances mentioned in this section, be made
to or, as he case may be, on that person for the year of
assesment in his basis period for which that event occurs.
(2) Where there are no sale, insurance, salvage or
compensation moneys or where the amount of the capital
expenditure of the person in question on the provision of the
plant or machinery still unallowed as the time of the event
exceeds those moneys, balancing allowance shall be made,
and the amount thereof shall be the amount of the expendi ture
still unallowed as aforesaid or, the case may be the
excess thereof over the said moneys,
(3) If the sale, insurance, salvage or compensation
moneys exceed the amount, if any, of the said expenditure
still unallowed as at the time of the event, a balancing charge
shall be made, and the amount on which it is made shall be
/an