Synthetic lease

A Transaction that appears as a Lease from an Accounting standpoint, but as a Loan from a Tax standpoint. The end results are an off-balance sheet Account of the Financing and the Tax benefits that accompany the financed Asset.

Related Terms: 16 Account, Accounting, Asset, Action, Balance, Benefit, DPO, Finance, Financing, FIN, ITS, Loan, Lease, Point, Transaction, Tax

Other Related Pages: Category: Real_Estate Starting With: S

Additional Related Terms: Account, Accounting, Accounting equation, Account statement, Accrual basis accounting, Active asset, Adjusted balance method, Asset, Asset/equity ratio, Average accounting return