The Intersection of Tax and Lease Accounting
The new lease accounting standard, ASC 842, was issued by the FASB in early 2016. Many public companies have already…
A practical approach to the Incremental Borrowing Rate (IBR) for lease accounting
ASC 842 requires lessees to use the rate implicit in the lease agreement for the Net Present Value (NPV) calculations…
Don’t Get Caught Off Balance with Lease Accounting
Does the opening ROU asset always equal the opening lease liability? Not always. Many public companies have already successfully adopted…
Key Money and the Impact on Lease Accounting under ASC 842
Key money is typically used in the leasing industry to describe an incentive paid to acquire a lease. And it’s…
Frozen Lease Accounting – Continued Use of Straight-line Functionality
New lease accounting guidelines (ASC 842 and IFRS 16) are now in effect for many companies. I am often asked…
Lease accounting accounts payable: How the right software can help
While companies across all industries are focusing on ASC 842 and IFRS 16 lease accounting compliance, the routine payments necessary…
What makes a good equipment leasing program?
Any business owner who needs expensive equipment to operate a business successfully wrestles with the question “Should we lease or…
How to address embedded leases
Embedded leases can be difficult to identify, but the new FASB lease accounting guidelines are making it essential to look. …
Evergreen fees on equipment leases, and how to avoid them
An evergreen lease contract automatically renews after each completion or maturity period, until canceled by one of the parties. While…
What are asset retirement obligations (AROs) and leasehold improvements related to lease accounting?
One of the many nuances of lease accounting, an asset retirement obligation (ARO) is a liability related to the retirement…