Beyond the GAAP 138

As 2019 draws to a close, we present our usual overview ofapplicable standards and interpretations, with IFRS 16 – Leases obviously being the key new standard for this year.

With the year-end closure approaching, the IFRS Interpretations Committee has finally confirmed its decision on determining the lease term under IFRS 16 – a topic that has been the subject of much debate – and has rejected the idea of amending the new standard just before its application date. This so-called “clarification” could have substantive impacts for groups that had previously used a legal approach to determining the lease term. They will be forced to change their estimates.

However, in light of the publication date of the Committee’s decision, and the time needed to implement such changes where necessary, they are presumably not required in the financial statements for 2019. If an entity is unable to make the required changes, it should provide detailed disclosures in the notes, as recommended by the French market regulator (AMF). We will provide a more detailed account of the Committee’s final agenda decision in our next issue.



  • IFRS highlights

A Closer Look

  • Standards and interpretations applicable at 31 December 2019
  • Comments on Exposure Draft of amendments to IFRS 17 and IASB’s plan of action

Events and FAQ