Although there is no statutory definition of ‘plant and machinery’ there is a heavy reliance on case law, CAA 2001, ss 21–23 includes lists of common items which are treated as plant and machinery. This document discusses the definitions of integral features, building, structures and land, overriding exceptions. It also covers case law definition of plant and machinery, two-year test, function test and others..

Legislative definition of plant and machinery

The general rule allowing capital allowances on plant and machinery is given at CAA 2001, s 11. There is no statutory definition of 'plant and machinery' so there is a heavy reliance on case law.

However, CAA 2001, ss 21-23 includes lists of common items which are treated as plant. Before consider-ing case law you should check whether the item is specified as eligible for plant and machinery allowances in these sections or not.

The flowchart below illustrates how the legislation then determines whether plant and machinery qualifies for allowances.

Integral features

Access this article and thousands of others like it free for 7 days
with a trial of TolleyGuidance.


Already a subscriber? Login

Request a Free Trial to TolleyGuidance to gain access to the full article

TolleyGuidance is produced by specialists within the field, our tax guidance materials provide actionable insights and practical guidance to support you day-to-day. We don’t just inform you about the latest changes in the tax world. We take the time to explain the implications and, most importantly, what actions you need to take for your clients.

A bit about you:

Please note that all fields marked with a * must be filled in
First name*
Last name*
Job title*