Short life assets

By Tolley

The following Corporation Tax guidance note by Tolley provides comprehensive and up to date tax information covering:

  • Short life assets
  • Short-life assets

Short-life assets

A ‘short life’ asset is an asset with a predicted useful life of less than eight years (for expenditure incurred on or after 1 April 2011; prior to that, a short-life asset election was only effective for assets with a predicted useful life of less than four years).

CAA 2001, ss 83–84

Certain assets are excluded from short-life asset treatment. These include cars and assets with partial non-business use. Expenditure within the ‘special rate pool’ (integral features and long life assets) is also excluded.

If a company acquires an asset and do

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