IFRS 16/ASC 842

new lease accounting standards apply to financial periods from 1 January 2019

Changes to lease accounting standards

In 2016, the International Accounting Standards Board (IASB) and Financial Accounting Standards Board (FASB) announced new lease accounting standards, IFRS 16 and ASC 842 respectively, which means many of the leases previously kept off the balance sheet will have to be reported on the balance sheet going forward. This introduces a number of challenges, including:

  • new measurement criteria for lessees
  • new practical expedients
  • frequent re-measurements
  • new criteria for sub-leases
  • complex transition options

“The IASB estimates that over 85% of lease commitments held by listed companies using current IFRS Standards or US GAAP do not appear on their balance sheets.”

Forbes, January 2016

Are You Ready?

Companies all around the globe lease assets and properties ranging from corporate office space and retail stores, through to vehicles, aircraft, infrastructure and manufacturing equipment. If you have more than a handful leases you should consider how Nomos One can address your needs.

Prepare for the Future

Nomos One have worked with industry leaders to design and build a fully integrated IFRS 16/ASC 842 software module which takes into account all criteria of the new lease accounting standard so it generates depreciation schedules and asset and liability values for each lease across your entire portfolio.

Transparent Compliance

We make the complex, simple, by providing;

  • An IFRS 16/ASC 842 wizard, to ensure all required information is captured.
  • Simplified restatements to provide end-to-end reports including, historic and forecasted data.
  • IFRS 16/ASC 842 journals, to export data from Nomos One.
  • A full portfolio summary report, with deep-dive data.

Auditor Access

Nomos One provides optional access to your auditors to check underlying assumptions and accuracy of output without disrupting your business.

Read-only access ensures that they can see what they need to, without the worry of editing or deleting important data.

IFRS 16 comes into effect from 1 January 2019, are you ready?
See our checklist here to find out what you need to do.

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