What is included and excluded in investment in Plant & Machinery-

I. The set of articles or physical resources serving to equip a person or thing: such as

i. The implements used in an operation or activity

ii. All the fixed assets other than land and buildings of a business enterprise

iii. The rolling stock of a railway

II. A piece of such equipment

Exclusions while calculating investment in Plant and Machinery -

 Equipments such as tools, jigs, dies, moulds and spare parts for maintenance and the cost of
consumables stores.
 Cost of Installation of plant & machinery.
 Research & development equipments.
 Bank charges and service charges paid to National Small Industries Corporation or State Small
Electricity Board.
 Procurement or installation of cables, wiring, bus bars, electrical control panels, oil circuit
breakers or miniature circuit breakers ] to be used for providing electrical power to the plant &
machinery or for safety measures.
 Gas producer plants.
 Transportation charges (excluding sales tax or value added tax or excise duty) for indigenous
machinery from the place of their manufacture to the site of enterprise.
 Charges paid for technical know-how for erection of plant & machinery.
 Such storage tanks which store raw material and finished products only and are not linked with
such manufacturing process.
 Fire fighting equipments

https://www.consultease.com/msme/msme/#c_Definition_of_equipment