What Is Rent Expense?

Lease fees refer to the fees paid by enterprises for lease of business premises, transportation vehicles, warehouses, low-value consumables, and equipment. However, it does not include the lease fee for enterprises to lease fixed assets through financing lease. Leasing income such as fixed assets and packaging materials that are leased out by the enterprise shall be treated as other business income, and the lease expenses shall not be deducted. ^[1]