The excess of the sale price of a leased asset over the asset’s remaining undepreciated capital cost (UCC). If the sale price is less than original cost, this amount is subject to tax in full. (Leasing in Canada [Third Edition], Ralph Selby, FCA, Butterworths, 1999)

Capital Cost allowance is the annual amount which a taxpayer may deduct in computing taxable income. (Leasing in Canada [Third Edition], Ralph Selby, FCA, Butterworths, 1999)

A company or person who arranges, for a fee, transactions between lessees and lessors of an asset. (U.S. Equipment Leasing Association)

A market segment generally represented by lease financings over $1 million / over $2 million in the United States (U.S. Equipment Leasing Association)

[see also Bargain Renewal Option, Fair Market Purchase Option, Fixed Purchase Option, and Purchase Option]

A provision allowing the lessee, at its option, to purchase the leased property for a price which is substantially lower than the expected fair value of the property at the date the option becomes exercisable. (KPMG LLP)

Larger than normal payments, usually occurring at the end of the lease term (sometimes called a “bullet”). (Leasing in Canada [Third Editioon], Ralph Selby FCA, Butterworths, 1999).

The total carrying cost paid by a consumer lessee over the term of a consumer lease expressed as an annual rate. For the purposes of statutory consumer cost of credit disclosure requirements, the APR is intended to be similar to the cost of borrowing charges on a consumer loan. (Turning the Lights on Leasing, a Consumer Guide to Vehicle Leasing)

A document that describes in detail the asset being leased. It may also state the lease term, commencement date, repayment schedule and location of the asset. (U.S. Equipment Leasing Association)

The financing of equipment and vehicles and of related items or services, primarily by way of lease, but also by secured loan or conditional sales contract. (CFLA)