Beta This part of GOV.UK is being rebuilt – find out what this means

HMRC internal manual

Business Leasing Manual

HM Revenue & Customs
, see all updates

Taxation of leases that are not long funding leases: tax advantages: comparing profits from finance leasing and lending

The commercial accounting for finance leasing and lending is similar (see BLM30030). But the tax position in each case is different (see BLM30035). It is this which can give leasing a tax advantage over lending.