Investment in a leased property

Yestin
Yestin Registered Posts: 83 Regular contributor ⭐
edited June 18 in AAT member discussion
Hello Everyone,

Short question today.

How would you go about accounting for a £200,000 investment in a property that you do not own but are leasing for 10 years?

Thanks in advance for any suggestions.

Yestin

Comments

  • deanshepherd
    deanshepherd Registered Posts: 1,798 Beyond epic contributor 🧙‍♂️
    Capitalise and amortise over the period of the lease?
  • Nick
    Nick Registered Posts: 13 New contributor 🐸
    amortise it

    I agree - capitalise as a lease premium and amortise over 10 years
  • Yestin
    Yestin Registered Posts: 83 Regular contributor ⭐
    Thanks guys! Seems like the best way to go about it.

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