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Normally, purchases for supplies and equipment used in the business (not for re-sale) are subject to sales tax. Could vary by state.AnswerI think you meant to ask if the sales tax was expensed or capitalized. Any sales tax paid on equipment is considered to be part of the cost of the asset. Therefore its both capitalized and depreciated.
For purposes of US GAAP, payments made for an initial investment in a franchise are capitalized as a long-lived intangible asset. These can be capitalized and then amortized over the life of the franchise agreement. Franchise royalties and other maintenance costs paid periodically should be expensed in the period they are used, and not necessarily in the period paid. For example, if a franchisor makes an annual payment in December 2012 to cover 2013 royalties, that payment should be expensed in 2013.
Yes, corporations can deduct lease payments. Property lease payments and vehicle lease payments are deductible in the year paid or accrued.
Rent bill is for the lease or rent to live in an apartment or house and is paid by the person living there. A property tax bill is for taxes on the property and is paid by the owner.
An operating lease is not shown on the balance sheet. They are charged directly to the profit and loss. Financial leases are the types of leases where the company will own the asset when they've paid off all the lease payments. This type of lease is shown in liabilities, it will be split showing what's due in one year (current) and the rest due after one year (long term).
Operating lease is that kind of lease which is not done for entire useful life of assets and only lease rental are paid and expensed through income statement.
Capitalized lease obligations refer to lease agreements where the lessee records the leased asset as a capital lease on their financial statements. This means the lessee treats the leased asset as if it were purchased with a loan, and includes the lease payments as both an asset and a liability on their balance sheet.
The most common example would be a lease of equipment. Since the equipment is treated like a rental, the asset and the corresponding liability are not shown on the balance sheet. Lease payments are expensed as paid and the lease obligation would be disclosed in a note to the financial statement.
Normally, purchases for supplies and equipment used in the business (not for re-sale) are subject to sales tax. Could vary by state.AnswerI think you meant to ask if the sales tax was expensed or capitalized. Any sales tax paid on equipment is considered to be part of the cost of the asset. Therefore its both capitalized and depreciated.
For purposes of US GAAP, payments made for an initial investment in a franchise are capitalized as a long-lived intangible asset. These can be capitalized and then amortized over the life of the franchise agreement. Franchise royalties and other maintenance costs paid periodically should be expensed in the period they are used, and not necessarily in the period paid. For example, if a franchisor makes an annual payment in December 2012 to cover 2013 royalties, that payment should be expensed in 2013.
it is lease paid on capital invested
If you paid your rent late, he didn't break the lease - you did. He can now move to terminate the lease.
The risk of cosigning on a lease is that the cosigner is responsible for the rent for the leased property even if the other signers do not pay the rent. The landlord can go after one or all of the cosigners on a lease to get rent paid if the lease is not paid for the full term.
Yes, corporations can deduct lease payments. Property lease payments and vehicle lease payments are deductible in the year paid or accrued.
In many cases, yes. You will have to look into the terms of your specific lease to be certain.
Only the T in the. It should be -- The price paid
The vehicle will be repossessed and the leasor will be held responsible for the unpaid balance of the lease.