A part disposal occurs when some part of the asset remains undisposed of where a person disposes of an interest or right in or over an asset (see ¶14500).

Where a part disposal occurs, the cost of the asset allowable as a deduction is apportioned between the part of the asset disposed of and the part remaining, according to the value of each part immediately after the disposal. The effect of the apportionment is to reduce the allowable expenditure on a later disposal of the remaining part of the asset. The following fraction is applied to allowable expenditure for the purpose of the apportionment:

     A     

A + B

Where:

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