Section 113 — Value Added Tax Regulations 1995: Capital items to which this Part applies

Capital items to which this Part applies 113 1 The capital items to which this Part applies are any of the items specified in paragraph (2) on or in relation to which the owner incurs VAT bearing capital expenditure of a type specified in paragraph (3), the value of which is not less than that specified in paragraph (4).

2 The items are—

a land;

b a building or part of a building;

c a civil engineering work or part of a civil engineering work;

d a computer or an item of computer equipment;

e an aircraft;

f a ship, boat or other vessel.

3 The expenditure—

a in the case of an item falling within paragraph (2)(a) or (d), is the expenditure relating to its acquisition;

b in the case of an item falling within paragraph (2)(b), (c), (e) or (f), is the expenditure relating to its—

i acquisition, ii construction (including where appropriate manufacture), iii refurbishment, iv fitting out, v alteration, or vi extension (including the construction of an annex).

4 The value for the purposes of paragraph (3) is—

a not less than £250,000 where the item falls within paragraph (2)(a), (b) or (c);

b not less than £50,000 where the item falls within paragraph (2)(d), (e) or (f).