capital asset


Definitions of capital asset


(FINANCE, ECONOMICS) any fixed asset (eg property or machinery) used by a business to make money or used to produce goods or services (in contrast to assets used for personal enjoyment or consumption)

The stated reason for the deforestation is that the trees are capital assets that the companies need to liquidate to raise cash.


(TAX ACCOUNTING, INTERNATIONAL PUBLIC SECTOR ACCOUNTING STANDARDS) any asset with a useful life extending beyond one reporting period

Almost everything you own and use for personal purposes, pleasure or investment is a capital asset.


(US TAX LAW) any property other than those listed as exceptions; these exceptions include anything held for sale, and any real estate or depreciable property (=property acquired for the purpose of gaining or producing income)

Generally, government managers have a duty to maintain capital assets under their control.