split trac lease definition
Anatomy of a TRAC Lease. Under Todayâs GAAP and Likely Future GAAP. By Bill Bosco, Leasing 101. A TRAC (Terminal Rental Adjustment Clause) lease is a unique lease in that it is the only lease. where a lessee can provide a âfirst lossâ residual guarantee to the lessor yet the lease is viewed. as a true lease for IRS tax purposes. The Terminal Rental Adjustment Clause provides for a.