(1) The first element of the cost of a * car designed mainly for carrying passengers (after applying section 40- 225 and Subdivision 27-B) is reduced to the * car limit for the * financial year in which you started to * hold it if its cost exceeds that limit.
(2) However, the * car limit does not apply to a * car:
(a) fitted out for transporting disabled people in wheelchairs for profit; or
(b) whose first element of * cost exceeds that limit only because of modifications made to enable an individual with a disability to use it for a * taxable purpose.
(3) The car limit for the 2000-01 * financial year is $55,134. The limit is indexed annually.
Note: Subdivision 960-M shows you how to index amounts.
(4) If you * hold a * car that is also held by one or more other entities, subsection (1) applies to the * cost of the car despite section 40- 35. Then section 40- 35 applies to the cost of the car as reduced under subsection (1).