A conditional sales agreement is acceptable to CRA as a leasing arrangement

Name: A conditional sales agreement is acceptable to CRA as a leasing arrangement
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Question

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A conditional sales agreement is not the same as a leasing arrangement. In a conditional sales agreement, the buyer takes ownership of the asset at the end of the term, while in a lease arrangement, the asset is returned to the lessor. Therefore, the tax treatment and allowable deductions may differ between the two arrangements.

A Conditional Sales Agreement Is Acceptable to CRA as a Leasing