United States

GASB Proposal Addresses Accounting for Leases

Feb 16, 2016
From the Financial Reporting Network

The GASB recently issued an Exposure Draft, Leases, which would establish a single model for lease accounting by state and local governments based on the principle that leases are financings of the right to use an underlying asset. The proposal would require a lessee to recognize a lease liability and an intangible right-to-use lease asset while a lessor would recognize a lease receivable and a deferred inflow of resources. The proposal would be effective for reporting periods beginning after December 15, 2018. Earlier application would be permitted. The comment period ends May 31.

Read GASB Exposure Draft