true lease

true lease definition - business

true lease

A lease that meets IRS requirements for the lessor to claim ownership and the lessee to claim the entire lease payment as an expense for tax purposes. To qualify, any purchase option must be at fair market value at the end of the lease. Also called fair market value lease.

The American Heritage® Dictionary of Business Terms Copyright © 2009 by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company. All rights reserved.

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