Good Morning,
please Kindly assist me with the relevat cashflow on determining the present value on a lease option (finance and operating)
Reason for the question: some friend say i should treat capital allowance tax relief and lease rental tax savings as relevant cashflows for a finance lease, but use only lease rental tax savings for an operating lease. please is this position correct?
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relevant cashflow on lease option
10y ago#1For Paper F9, only the lease payments are tax allowable.
(And in all questions in F9 involving tax you are told the tax rules to use).
I do suggest that you watch my free lectures on lease and buy.
(Our lectures are a complete free course for Paper F9 and cover everything needed to be able to pass the exam well)
thanks
10y ago#3You are welcome :-)
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