The International Accounting Standards Board (IASB) is proposing to extend the application period of the amendment to IFRS 16, Leases, that was issued last May. The board released on Thursday an exposure draft for consultation.
The amendment helps lessees account for COVID-19-related rent concessions, such as rent holidays and rent reductions.
Currently, this relief applies to “rent concessions that reduce only lease payments due on or before 30 June 2021”, the IASB said. The proposal is to extend the relief to a 30 June 2022 deadline.
— Oliver Rowe (Oliver.Rowe@aicpa-cima.com) is an FM magazine senior editor.