The BC notes that the 7 Paragraph BC100 in the Basis for Conclusions on IFRS 16 does indicate that when the IASB decided on the exemption, it had in mind leases of underlying assets with a value, when new, in the order of magnitude of US$5,000 or less. Agenda ref 30B New IFRS Standards—IFRS 16 Leases Page 8 of 23 exemptions. The basis for conclusions to the amendments notes that a … 98-103), Temporary exception arising from interest rate benchmark reform (paras. Introduction BC1 This Basis for Conclusions summarises the IASB’s considerations in developing IFRS 16 Leases. BC268-BC272), Transition (paragraphs C2-C20) (para. Paragraphs in bold type state the main principles. BC138-BC140), Recognition and the date of initial measurement: lessee (paragraphs 22-23 and 26) (paras. However, the Committee’s discussions on this matter highlighted the … BC130-BC132), Separating components of a contract (paragraphs 12-17 and B32-B33) (paras. To subscribe to this content, simply call 0800 231 5199. BC147-BC151), Initial measurement of the lease liability (paras. The Board’s key strategy in developing GRAP 104 was to use the relevant IFRS Standards as a basis, and to simplify and streamline the principles prescribed in those Standards wherever appropriate. BCZ249-BCZ250), Lessor: disclosure (paragraphs 89-97) (para. It includes reasons for accepting particular views and rejecting others. BC173A-BC173B), Subsequent measurement of the right-of-use asset (paragraphs 29-35) (paras. BC303-BC310), Lessee accounting model (paras. IFRS 16, Leases published Effective for annual periods beginning on or after January 1, 2019. This Basis for Conclusions has not been revised to reflect the restructuring of IFRS 1 in November 2008, but cross-references have been updated. Appendix B Amendments to IFRS 1 and to other Interpretations IFRIC 12: Information Notes IFRIC 12: Illustrative Examples IFRIC 12: Basis for Conclusions Introduction (para. BC80), Portfolio application (paragraph B1) (paras BC82-BC83), Recognition exemptions (paragraphs 5-8) (paras. BC98-BC104), Identifying a lease (paragraphs 9-17) (paras. This requirement can be seen as a compromise, clearly set out in the Basis for Conclusions of IFRS 16: on the one hand, the IASB believes that a regular reassessment of the lease term would provide more relevant information to users of the financial statements; on the other hand, the IASB IASB website. Basis for conclusions This basis for conclusions gives the Accounting Standards Board’s (the Board’s) reasons for accepting or rejecting certain proposals related to the accounting for financial instruments. BC206-BC211), Statement of financial position (paragraph 47-48) (paras. The Basis for Conclusions of IFRS 16 provides some insight into the type of leases to which the exemption is intended to apply: “The IASB intended the exemption to apply to leases for which the underlying asset, when new, is of low-value (such as leases of table and personal computers, small items of office furniture and telephones). BC296-BC298), Transition for first-time adopters of IFRS (para. This basis for conclusions summarizes the Board’s considerations in reaching the conclusions in Topic 842, Leases. Basis for Conclusion on IFRS 16 Leases. Interest Rate Benchmark Reform—Phase 2 (Amendments to IFRS 9, IAS 39, IFRS 7, IFRS 4 and IFRS 16) (August 2020) proposes amendments to this standard with effect for annual reporting periods beginning on or after 1 January 2021. BC289-BC291), Sale and leaseback transactions before the date of initial application (paragraphs C16-C18) (paras. If the customer controls the use of an identified asset for a period of time, then the contract contains a lease. The staff believes there are three options the Board could consider in aligning the for lessees, IFRS 16 does not contain accounting requirements for lessors when changes to lease payments are not treated as modifications. BCZ245-BCZ247), Impracticability of split between land and buildings (para. Covid-19-Related Rent Concessions (Amendment to IFRS 16) (May 2020) amended this standard with effect for annual periods beginning on or after 1 June 2020. Ar ticle 2 Basis for Conclusions on IFRS 15 Revenue from Contracts with Customers This Basis for Conclusions accompanies, but is not part of, IFRS 15. BC259), Sale and leaseback transactions (paragraphs 98-103) (paras. BC174-BC181), Subsequent measurement of the lease liability (paragraphs 20-21 and 36-43) (paras. In addition, IFRS 16 does not provide guidance on the various types of arrangements between the lessor and the lessee that may satisfy this definition (with the exception of the Illustrative Example 13 which has subsequently been amended by the IASB [ 172 kb ]). BC69), Long-term leases of land (paras. BC237), Lease modifications (paragraphs 79-80 and 87) (paras. BC295-BC302), Business combinations (paras. systematic basis if that basis is more representative of the pattern of the lessee’s benefit. IFRS 16. So your request will be limited to the first 1000 documents. (paras. Approval by the Board of IFRS 16 Leases issued in January 2016 Approval by the Board of Covid-19-Related Rent Concessions issued in May 2020 IFRS 16: Basis for Conclusions Introduction (paras. 104-106), Approval by the Board of IFRS 16 Leases issued in January 2016, Approval by the Board of Covid-19-Related Rent Concessions issued in May 2020, Why the need to change previous accounting? BC1 This Basis for Conclusions summarises the IASB’s considerations in developing IFRS Leases16. BC267A-BC267J), Effective date and early application (paragraph C1) (paras. 1 Leases | A guide to IFRS 16. Basis For Conclusions On IFRS 16 Materiality. BC253-BC255), Information about assets subject to operating leases (paragraphs 95-96) (para. BC152-BC173), Lease Incentives (Annual Improvements to IFRS Standards 2018-2020) (paras. Deleted text is struck through and new text is underlined. 'Set the date' will change the date at which you are viewing the document. BC87-BC104), Leases of low-value assets (paras. BC67-BC81), Service concession arrangements (para. 5-8), Identifying a lease (paragraphs B9-B33) (paras. 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