wasting asset


Also found in: Financial.

wasting asset

n.
An asset, such as an oil well or an options contract, that declines in value over time.
American Heritage® Dictionary of the English Language, Fifth Edition. Copyright © 2016 by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company. All rights reserved.

wasting asset

n
(Accounting & Book-keeping) an unreplaceable business asset of limited life, such as a coal mine or an oil well
Collins English Dictionary – Complete and Unabridged, 12th Edition 2014 © HarperCollins Publishers 1991, 1994, 1998, 2000, 2003, 2006, 2007, 2009, 2011, 2014
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It is always possible to quibble with the details of a peace process or peace deal, but here is the hard reality: US leverage in Afghanistan is a wasting asset. Washington could have made a much better deal five years ago, a still better deal five years before that and an unimaginably good deal in 2001 or 2002.
From a C-suite/shareholder perspective, this camouflaged wasting asset strategy makes sense if the execution is quality.
A classic motorcycle is considered a 'wasting asset' by HMRC, which means there is no capital gains tax to pay on any profit.
Oil is a wasting asset. The resources generated from this sector must, therefore, be used to promote all-around expansion in the productive capacity of the economy so as to ensure self-sustaining growth in the shortest possible time'.
A transition period was a "wasting asset" which will lose its value the longer it takes to agree.
Antibiotics have been a wasting asset since the first was developed in 1911.
Fortunately clocks carry an exemption from capital gains tax as they qualify as "machinery", and are therefore treated as a wasting asset with an expected working life of 50 years or less.
UK tax rules treat fine wine as a 'wasting asset', as it has an expected life of less than 50 years, so any increase in value does not attract capital gains tax.
For tax purposes classic cars are regarded by HMRC as a 'wasting asset' meaning that any profits on the sale of the vehicle will not be subject to capital gains tax.
Matters become more complicated when the subject is represented by a wasting asset that loses value over the course of the investment cycle.
"European soft power is a wasting asset in a world in which other regions and powers are increasingly self-confident and less willing to base their policies on relations with the West.