Leasing
... Concerning Various Aspects of the Accounting Treatment of Leasing Antony Moran M51752 June 2002 Introduction 1(a) Classification of Lease Definition Calculation Conclusion 1(b) Substance over Form Definition Substance over Form in Relation to Leasing and Sale and Leaseback 1(c) Accounting Policy relating to Leasing Policy Note Guidance 1(d) Compliance of Annual Report for Persimmon PLC dated December 2001 with disclosure requirements of SSAP 21. ... Accounting policies in relation to Leasing. ... Substance over Form in Relation to Leasing and Sale and Leaseback SSAP 21 gives a clear test to determine how a lease should be classified. ... 1(c) Accounting Policy relating to Leasing Policy Note The following policy note is recommended. ‘Leasing Assets held under finance leases are to be capitalised in the balance sheet, and depreciation is to be charged to profit in line with current accounting policy. ... Accounting Policies The accounting policy of the group relating to leasing is stated within principal accounting policies.