Asked by Tyler Slaven on Jun 29, 2024
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Lease payments are deductible business expenses, while if a building is owned, only depreciation is deductible for tax purposes.
Lease Payments
Regular payments made by a lessee to a lessor for the use of leased property, equipment, or vehicles, as agreed upon in a lease contract.
Deductible Business Expenses
Expenses incurred during business operations that can be subtracted from gross income to reduce taxable income.
Depreciation
The allocation of the cost of a tangible asset over its useful life, reflecting the decrease in value over time due to use and wear.
- Comprehend the operational and fiscal aspects of the decision to lease or own commercial premises.
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Learning Objectives
- Comprehend the operational and fiscal aspects of the decision to lease or own commercial premises.
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