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Official guidance
Business Leasing Manual

BLM20221 · Defining long funding leases: the three tests: the lease payments test

  • BLM20225 · CAA01/S70O
  • BLM20230 · Minimum lease payments (CAA01/S70E)
  • BLM20235 · Minimum lease payments, present value
  • BLM20240 · Services and qualifying UK or foreign tax
  • BLM20245 · Fair value
  • BLM20250 · Example of minimum lease payments
  1. Defining long funding leases: the three tests: the lease payments test: contents
  2. Defining long funding leases: the three tests: the lease payments test: fair value

BLM20245 | Defining long funding leases: the three tests: the lease payments test: fair value

From HM Revenue & Customs · Business Leasing Manual

For the purpose of the lease payments test, the fair value of an asset for the purposes of the lease payments test is its market value (see BLM25200) less any grants receivable towards its purchase or use (CAA01/S70O (3)).

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