A lease on a qualified automobile, truck, or trailer, which may be considered a true lease for federal income tax purposes even though it contains a Terminal Rental Adjustment Clause (TRAC), which effectively guarantees the lessor the residual value. Note: the mere existence of a TRAC does not, in and of itself, ensure true lease status. To qualify as a true lease for federal income tax purposes, the lessor must also: maintain a minimum at-risk position equal to borrowings used to fund the vehicle with recourse to meet the requirements of IRC 7701(h) and obtain a lessee certification that the lessee will use the vehicle more than 50 percent for business.