PET - Plain English Taxonomy

Attribute: PL04031
Concept:
Label: Capital Expenditure - Buildings and structures
Concept Guidance:
Capital expenditure is the expenditure by an entity of a significant amount for the purchase or improvement of a fixed asset; the amount expended would warrant the item being depreciated over an estimated useful life of a reasonably 'extended' period. Capital expenditure is not charged against the profits of the entity when it takes place, but is regarded as an investment to be capitalised in the balance sheet as a fixed asset and subsequently charged against profits by depreciating the asset over its estimated useful life.Buildings and other structures includes industrial and commercial buildings, houses, flats, home units, water and sewerage installations, lifts, heating, ventilating and similar equipment forming an integral part of buildings and structures, land development and construction site development, roads, bridges, wharves, harbours, railway lines, pipelines, power and telephone lines. It also includes mine development (e.g. construction of shafts in underground mines, preparation of mining and quarrying sites for open cut extraction and other developmental operations primarily for commencing or extending production). It excludes purchases of land, previously occupied buildings and speculatively built projects intended for sale before occupation.This is the capital expenditure for new buildings and other structures, and associated capitalised costs only (e.g. real transfer costs incurred upon acquiring the assets) and does not include capital expenditure on any other asset types. 
Form-Specifc Guidance:
Capital expenditure is the sum of outlays for the purchase of fixed tangible and/or intangible assets by the business during the reference period. Capital work done by own employees should be included in the appropriate capital expenditure item(s), and also separately identified in the data item 'Of which Capitalised work done by own employees'.
Include:
- all costs capitalised in this business' books (including legal fees, real estate transfer costs and assets acquired under finance leases);
- progress payments made to contractors for capital work done by them; and
- major improvements, alterations and additions to fixed assets.
Exclude:
- progress payments for plant, machinery and equipment being produced on order;
- payments for repair and maintenance of fixed assets;
- payments of fixed assets on rental or acquired through an operating lease; and
- interest paid.
Dimensions
This attribute does not have any dimensions.