Page 12 - F6 - Capital Allowances - Leases

Limitation To Allowances For Lessors Of “Affected

Assets” s 23A

Operating lease definition:

 a lease of movable property;

 concluded by a lessor in the ordinary course of a

business of letting such property, and

 It must be possible for members of the public to hire

it directly from the lessor for a period of less than

one month;

 The cost of maintaining it and carrying out the

repairs must be borne by the lessor;

 Lessor bears risk of destruction or loss (except if

lessee does not take proper care).