Carbon dioxide (CO2) recovery system assets

ATO depreciation rates for carbon dioxide (co2) recovery system assets assets in the Manufacturing industry, under Income Tax (Effective Life of Depreciating Assets) Determination 2025 (LI 2025/20).

10 assets listed.

Asset Effective life Prime cost rate Diminishing value rate Applicable from
Clean-in-place system (CIP) assets (including pipes, pumps and tanks) 15 years 6.67% 13.33% 1 July 2025
Control system assets (excluding personal computers) 10 years 10.00% 20.00% 1 July 2025
Gas collection and storage assets (including pipes bladders and tanks) 25 years 4.00% 8.00% 1 July 2025
Gas processing assets 20 years 5.00% 10.00% 1 July 2025
Heat exchangers 15 years 6.67% 13.33% 1 July 2025
Pipes 25 years 4.00% 8.00% 1 July 2025
Pumps 15 years 6.67% 13.33% 1 July 2025
Valves 10 years 10.00% 20.00% 1 July 2025
Vaporisation system assets 20 years 5.00% 10.00% 1 July 2025
Vapour condensers 15 years 6.67% 13.33% 1 July 2025

About these rates

The effective lives shown above are determined by the Commissioner of Taxation under section 40-100 of the Income Tax Assessment Act 1997. The diminishing value rate equals 200% ÷ effective life (for assets acquired on or after 10 May 2006). The prime cost rate equals 100% ÷ effective life. You may alternatively self-assess effective life — see the ATO website for guidance.

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