The International Accounting Standards
Board (IASB) issued IFRS 16 Leases
in January 2016. IFRS 16 sets out
the principles for the recognition,
measurement, presentation and
disclosure of leases for both parties to a
contract, ie the customer (‘lessee’) and
the supplier (‘lessor’).
IFRS 16 is effective from 1 January 2019.
A company1 can choose to apply IFRS 16
before that date but only if it also
applies IFRS 15 Revenue from Contracts
with Customers.