Leases
This project is part of the 2006 Memorandum of Understanding (updated in 2008) between the FASB and the IASB to work towards convergence.
The aim of the project is to develop a new common approach to lease accounting that would ensure that all assets and liabilities arising under lease contracts are recognised in the statement of financial position (balance sheet).
The project was added on the IASB’s agenda in July 2006.
Where are we now?
In March 2009 the IASB issued a discussion paper on lease accounting jointly with the FASB. The discussion paper is open for public comment until 17 July 2009.
Next step
13 May 2009 - the IASB held a live web presentation introducing the discussion paper. A recording of the web presentation and the question and answer sessions are available by clicking below:
- Session 1 - 13 May 2009 at 9.30am (London time): Presentation and Q&A session - click here
- Session 2 - 13 May 2009 at 3.30pm (London time): Q&A session - click here
The IASB plans to initiate deliberations on the comments received at its [September] 2009 meeting.
Estimated project completion
The boards plan to issue an exposure draft of a new lease accounting standard in the second quarter of 2010.
The current project plan envisages that a final Standard will be issued in the second quarter of 2011.
Working Group
In July 2006 the IASB and the FASB established a joint working group for the project to seek the views of both users and preparers of financial statements as the project progresses. The first working group meeting was held in February 2007. Since that meeting, members of the working group have continued to contribute to the project on an informal basis.
The last meeting of the advisory group took place on 7 October 2008. In that meeting the group provided feedback on an early draft of the discussion paper.
Click here for more information on the joint working group.