The reason the CCRA is most concerned about lease contracts is:
A) firms that lease generally pay no taxes.
B) that leasing usually leads to bankruptcy.
C) that leases can be set up solely to avoid taxes.
D) because leasing leads to off-balance-sheet-financing.

Question

Quizplus · Accepted Answer

Leases can be structured in a way to minimize tax liabilities, which is a concern for tax authorities like the CCRA (Canada Customs and Revenue Agency).

The Reason the CCRA Is Most Concerned About Lease Contracts