Long funding operating leases
Long funding operating leases calculates that amount of the company’s lease payments which are not eligible for tax relief and adds them back to tax computation.
| Income/expense | The Income/expense type selected on Profit & Loss will appear here. |
| Description | Enter a description to identify the lease at Select long funding operating leases |
| Business activity | If the company has more than one activity, select the one to which the lease relates. |
| Lease payment | Enter the lease payments made this period |
| Lease start date | Enter the date of commencement of the lease |
| Lease end date | Enter the date on which the lease is expected to end. |
| Lease termination date if in the period | If the lease ended in this period, then enter the end date here. |
| Starting value | Enter the value at Lease start date of the asset to which the lease relates. |
| Expected end value | Enter the anticipated value of the asset to which the lease relates at Lease end date. |
| Gross reduction | Calculated as the difference between Starting value and Expected end value. |
| Lease term in days | Calculated as the number of days between Lease start date and Lease end date. |
| Days of lease falling in period |
If you have entered a date at Lease termination date if in period, then calculated as the number of days from the start of the period to that date. Otherwise, calculated as the period length. |
| Lease restriction |
The difference between the start and end values of the lease, apportioned over its length. Calculated as Gross reduction multiplied by Days of lease falling in period and divided by Lease term in days. The restriction is added to UK net trading profit at Tax computation |
How do I get here?
Other adjustments> Long funding operating leases opens Select long funding operating leases, which lists all long funding operating leases already created for the period.
To open the page for a lease already created, highlight the lease and select Edit.
For a new lease, select Add.
