Capital Allowances Act 2001 section 84

Cases in which short-life asset treatment is ruled out

Section 84 sets out the circumstances in which plant or machinery cannot be treated as a short-life asset for capital allowances purposes, together with certain limited exceptions.

• Short-life asset treatment is excluded for assets brought into a qualifying activity from other uses, gifted assets, assets subject to special leasing, ships, and assets with mixed business and private use
• Cars are generally excluded, along with special rate expenditure and assets provided for leasing, but a specific exception applies where the car is a hire car for a disabled person
• Assets subject to the overseas leasing regime — including those attracting only a 10% writing-down allowance or leased jointly to two or more persons — cannot be treated as short-life assets
• Assets required to be held in a single asset pool because of a partial depreciation subsidy are also excluded from short-life asset treatment