processing

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

14 assets listed.

Asset Effective life Prime cost rate Diminishing value rate Applicable from
Feeders (including loss-in-weight feeders and volumetric feeders) 10 years 10.00% 20.00% 1 July 2025
Heat exchangers 15 years 6.67% 13.33% 1 July 2025
Heaters (including air heaters and concentrate heaters) 20 years 5.00% 10.00% 1 July 2025
Homogenisers 15 years 6.67% 13.33% 1 July 2025
Hoppers 15 years 6.67% 13.33% 1 July 2025
In-line moisture meters and moisture controllers 10 years 10.00% 20.00% 1 July 2025
Membrane filtration system assets 15 years 6.67% 13.33% 1 July 2025
Mixers and blenders 15 years 6.67% 13.33% 1 July 2025
Pasteurisers and thermalisers 15 years 6.67% 13.33% 1 July 2025
Separators, decanters, clarifiers and bactofuges 15 years 6.67% 13.33% 1 July 2025
Standardisers 15 years 6.67% 13.33% 1 July 2025
Tanks (including storage, mixing, process and balance tanks) 20 years 5.00% 10.00% 1 July 2025
UHT aseptic processing system assets 15 years 6.67% 13.33% 1 July 2025
Valve matrixes 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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