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Rent Free Period

Forums › ACCA Forums › General ACCA Forums › Rent Free Period

  • This topic has 1 reply, 2 voices, and was last updated 13 years ago by lostbecky.
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  • June 24, 2011 at 12:35 pm #49177
    stellali2010
    Member
    • Topics: 1
    • Replies: 0
    • ☆

    Hi,

    how do we treat a rent free period in an operating lease?

    Stella

    August 5, 2011 at 11:43 pm #85530
    lostbecky
    Member
    • Topics: 3
    • Replies: 8
    • ☆

    Hi Stella,

    Rent free periods are written off over the term of the lease.
    ie a 6 month rent free period on a 5 year lease, the rent free is calculated based on the 5 years.

    This might help a bit regarding UITF 28:
    https://www.frc.org.uk/images/uploaded/documents/327.pdf

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