22 May 2013

EFRAG/National Standard-Setters invite companies to participate in field-testing of the proposed accounting guidance for leases

On 16 May 2013, the IASB issued the revised ED Leases to propose changes in the accounting guidance for arrangements that are or contain leases. As one of the consequences, lessees will be required for all arrangements that would fall into the definition of a lease to recognise and measure right-of-use assets at cost and lease liabilities at the present value of the lease payments. 

What is the objective of this field test?

This field test is meant to help to understanding the nature, terms and conditions of lease arrangements currently in use and the implications of the proposed guidance; whether the proposed guidance creates implementation or operational difficulties; and what effort would be required to implement and apply the proposed guidance.

How will this field test be conducted?

EFRAG and the National Standard-Setters have developed the questionnaire which participants are requested to complete. The questionnaire asks participants to identify arrangements for which accounting requirements would change as a result of the ED and tentatively apply the guidance in accordance with the ED to them. Additionally, follow-up interviews may be conducted by EFRAG and the National Standard-Setters.

The information provided to EFRAG and the National Standard-Setters will remain confidential. Information used in any reports will be presented in such a way that no individual company or person can be identified. However, the list of participants in the field test will be made public, unless participants explicitly request anonymity. The output of the field test will be shared between EFRAG, the National Standard-Setters, the European Commission and the IASB.

Press release

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