Finance Leasing Manual - FLM32.17

Normal rent: Schedule D Case I

In calculating 'normal rent' which is a trading receipt, a rental should usually be recognised evenly over the rental period to which it relates in accordance with the terms of the lease. See FLM20.05 for a further discussion of how the 'capital' or 'loan repayment' element of finance lease rentals are recognised for Schedule D Case I purposes.