Capital Allowances Act 2001 section 96

Cars

Section 96 excludes expenditure on cars and motor cycles from being treated as long-life asset expenditure.

• Spending on cars or motor cycles is specifically excluded from the long-life asset rules
• This exclusion applies regardless of the expected useful life of the vehicle
• A car is broadly defined as a road vehicle that is not a motor cycle, a goods vehicle, or a vehicle not commonly used for private purposes
• A motor cycle takes its definition from the Road Traffic Act 1988