Tag Archives: ASC 842

Impacts of COVID-19 on Lease Accounting (ASC 842)

As the world continues to grapple with an invisible enemy, our daily lives aren’t all that have been impacted. Companies as a whole have been unable to collect or pay rent on their leased assets, while the changes in ASC 842 have meant that lease accountants all over the globe following GAAP have had to go through their books thoroughly… Read More »

Tax Implications of ASC 842: Lease Accounting Standards

  The ASC 842 changes haven’t just changed how leases are handled in books, but also the tax implications that come along with it.   There are seven key areas where lease accounting tax implications will take effect. Here, we’ll discuss those seven areas in detail to give you an overview of what’s going on.   Tax Implications of ASC 842 Changes … Read More »

ASC 842 Changes – Identification of Embedded Leases

We previously discussed how FASB had discussed changes in ASC 842: Lease Accounting in Rate Implicit in the lease as well as the determination of IBR. At the same roundtable conference, the board also discussed the concern presented by some preparers about the identification of leases embedded within a contract.   The main issue was that entities spent significant amounts of time trying to identify and… Read More »

Changes in ASC 842 Topic Lessee Application of Rate Implicit in the Lease – Is the Use of IBR Enough?

In a previous post, we discussed how FASB is finalizing a change in ASC 842: Lease Accounting. As it stands, the change is set to impact every business that adopts GAAP to settle their books. FASB had been releasing updates every now and then to ensure that the new changes are well understood and implemented by the effective date.  Although… Read More »

ASC 842 Changes: Would a Specific Incremental Borrowing Rate Be Better?

The problem of determining the rate implicit in a lease also presented a concern that most preparers used the incremental borrowing rate (IBR) as the discount rate. However, that wasn’t the only concern that came to light during FASB’s roundtable in September 2020.   Apart from the rate implicit, members also discussed the IBR; i.e., how those that have adopted ASC 842 determine the IBR. It… Read More »

Sage Intacct and iLeasePro Announce Major Integration Enhancement

iLease Management LLC (“iLease”), developer of iLeasePro, an enterprise cloud-based Lease Management and Accounting solution, has announced a major step forward in its strategic partnership and integration with Sage Intacct, a leader in cloud-based financial management and accounting software. iLease has released the capability to take advantage of Sage Intacct’s dimension feature to seamlessly track… Read More »