Lease rentals paid by the lessee are deductible for computing taxable profits.

True

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False

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Solution

The correct option is A True
The lessee never becomes the owner of the asset. A person who holds an property is known as lessee.Lease rentals paid by the lessee are deductible for computing taxable profits- this is a true statement.

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Similar questions

Under the lease agreement, the lessee gets the right to

(a) Share profits earned by the lessor

(b) Participate in the management of the organisation

(d) Sell the assets

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