---
kind: "section"
citation: "2 C.F.R. § 1108.75"
title: "2"
number: "1108.75"
heading: "Capital asset."
url: "https://uscodex.org/cfr/2/1108.75"
---

# §1108.75. Capital asset.


Capital asset means a tangible or intangible asset used in operations having a useful life of more than one year which is capitalized in accordance with GAAP. Capital assets include:

- (a) Land, buildings (facilities), equipment, and intellectual property (including software) whether acquired by purchase, construction, manufacture, lease-purchase, exchange, or through capital leases; and
- (b) Additions, improvements, modifications, replacements, rearrangements, reinstallations, renovations or alterations to capital assets that materially increase their value or useful life (not ordinary repairs and maintenance).

## Notes

### Authority

Authority: 5 U.S.C. 301 and 10 U.S.C. 113.

### Source

Source: 85 FR 51230, Aug. 19, 2020, unless otherwise noted.