Lease to own accounting treatment is a way for businesses to record any leases that can be classified as capital leases. A lease to own agreement allows a company to acquire the rights to use an asset without fully owning it. A lease to own accounting treatment ensures that a company is accurately recording these agreements, which often involve payments over time. This type of accounting treatment must adhere to the rules set forth by Generally Accepted Accounting Principles (GAAP). By tracking the full cost of a leased asset, as well as any applicable interest costs and applicable tax deductions, businesses are able to get a better understanding of their financial standing. With an accurate lease to own accounting treatment, businesses can make informed decisions on investments and are better prepared for future financial challenges.