Chances are you’ve already tangled with the ASC 842/IFRS 16 changes in standards determining how organizations should be accounting for leases on the balance sheet.
The effective date for implementing these standards for public companies started for fiscal years beginning after Dec. 15, 2018. But that was just the first salvo. After a couple of delays, private companies were subject to the same new standard beginning with fiscal years starting after Dec. 15, 2021. And that’s now!
Many of you were still struggling with understanding these new standards and working to get them implemented with your public company clients, just to be faced with the somewhat herculean task of also applying them to your other, private company, clients.
Fortunately, as with many areas of accounting, lease accounting software has adapted to the new standards. And while changing the way that you account for your clients’ leases will probably never be painless, the right software can ease that pain and help ensure a less problematic implementation.
Read the full article from Accounting Today here.