David Townsend wrote > Is not the best way (with Computer equipment that is 100% tax deductible in > the first year) to own the kit outright so that you can benefit from the > 100% Tax break ?
Yes, But you then have a potential "cash flow" problem. Supposing you buy �10k worth of kit, that �10k is immediately out of your account. Fine if you have a very flush bank account. With leasing the cost is spread over a period of years, improving cash flow, you retain security through the money you still have in the bank. This is what is known financially as the "time value of money." Leasing costs a bit more because you are paying for the financial convenience of a smoother cash flow. Scrooge Duck was right, time really is money. Also, if the 100% break ends this April, so any further purchases will fall under more conventional capital depreciation, which will make leasing even more beneficial. Paul Freeman www.architecturalimages.co.uk photo.paulfreeman.net -- ____________________________________________________ Message scanned for viruses and dangerous content by <http://www.newnet.co.uk/av/> and believed to be clean =============================================================== GO TO http://www.prodig.org for ~ GUIDELINES ~ un/SUBSCRIBING ~ ITEMS for SALE
