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IFRS 16 Leases

IFRS 16 Leases prescribes a single lessee accounting model that requires the recognition of asset and corresponding liability for all leases with terms over 12 months unless the underlying asset is of low value. Lessors apply a two-model approach.

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IFRS 16 Leases – Updated

This detailed factsheet provides an overview of IFRS 16 together with practical tips and examples. It has been updated for recent amendments.

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Registration is required to access the free version of the Issued Standards, which do not include additional documents that accompany the full standard (such as illustrative examples, implementation guidance and basis for conclusions).

Summary and timeline

Looking for the synopsis? Our IFRS 16 summary and timeline features information on current proposals and a timeline of IASB updates.

Recent amendments

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These resources are available exclusively to Corporate Reporting Faculty subscribers, ICAEW members and students.

Related IFRIC interpretations

IFRIC 1 Changes in Existing Decommissioning, Restoration and Similar Liabilities IFRIC 1 addresses accounting for a change in a provision that is included in the carrying amount of an item of property, plant or equipment.
IFRIC 12 Service Concession Arrangements IFRIC 12 provides accounting guidance for arrangements where a contract is granted for the supply of public services such as roads.
SIC 29 Disclosure – Service Concession Arrangements SIC 29 prescribes the disclosure requirements for each of the parties to the agreement.
SIC 32 Intangible Assets – Website Costs SIC 32 addresses the appropriate accounting treatment for costs at each stage of the development of a website.

UK reduced disclosures – FRS 101

UK qualifying parents and subsidiaries can take advantage of FRS 101 Reduced Disclosure Framework. Our FRS 101 page gives more information on which entities qualify and the criteria to be met.

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These resources are available exclusively to Corporate Reporting Faculty subscribers, ICAEW members and students.

ICAEW factsheets and guides

The Corporate Reporting Faculty's annual IFRS factsheets provide a more detailed discussion of recent IFRS amendments.

Exclusive IFRS 16 Leases
  • Helpsheets and support
  • 13 Oct 2023
  • PDF (692kb)
This factsheet provides an overview of IFRS 16 together with practical tips and examples. It has been updated for recent amendments.
Exclusive IFRS 16 Leases FAQs
  • Helpsheets and support
  • 12 Dec 2019
Financial Reporting Faculty outlines some of the key requirements of IFRS 16 Leases for lessees and lessors. Key differences when reporting leases under FRS 102 are also described.
Exclusive 2024 IFRS Accounts
  • Helpsheets and support
  • 22 Aug 2024
  • PDF (474kb)
This factsheet highlights new and modified requirements for preparers of IFRS accounts, dealing primarily with IFRS Accounting Standards with mandatory application for annual periods beginning on or after 1 January 2024.
Exclusive 2023 IFRS Accounts
  • Helpsheets and support
  • 08 Aug 2023
  • PDF (398kb)
This factsheet highlights new and modified requirements for preparers of IFRS accounts, dealing primarily with new IFRS requirements with mandatory application for annual periods beginning on or after 1 January 2023.

ICAEW webinars

Bitesize Briefing: IFRS 16 Leases and the COVID-19-related rent concessions amendment
  • Webinar
  • 16 Jun 2020
A short webcast providing an overview of the amendment to IFRS 16 Leases relating to rent concessions granted during the COVID-19 pandemic.

eBooks

The ICAEW Library & Information Service provides full text access to a selection of key business and reference eBooks from leading publishers. eBooks are available to logged-in ICAEW members, ACA students and other entitled users. If you are unable to access an eBook, please see our Help and support advice or contact library@icaew.com.

Exclusive Leases
  • eBook chapter
  • 2023
  • PKF International Ltd
  • Wiley Interpretation and Application of IFRS Standards
Updated edition providing a detailed reference guide with practical examples, and IFRIC interpretations and directions. This chapter discusses IFRS 16.
Exclusive Leases
  • eBook chapter
  • 2021
  • Ernst & Young LLP
  • International GAAP - Generally Accepted Accounting Practice under International Financial Reporting Standards
A global perspective on technical accounting issues with worked examples and illustrations from published financial reports of major listed companies from around the world. This chapter discusses IFRS 16.
Terms of use

You are permitted to access, download, copy, or print out content from eBooks for your own research or study only, subject to the terms of use set by our suppliers and any restrictions imposed by individual publishers. Please see individual supplier pages for full terms of use.

Bloomsbury Accounting and Tax Service

Eligible firms have free access to Bloomsbury Professional's comprehensive online library, comprising more than 60 titles from some of the country's leading tax and accounting subject matter experts. Find out who is eligible and how you can access the Bloomsbury Accounting and Tax Service.

Exclusive IFRS 16 Leases
  • eBook chapter
  • 2023
  • Steve Collings
  • Practical Guide to UK Accounting and Auditing Standards
A section on accounting for a lease under IFRS 16, with an example calculation for the lease of an office under IFRS 16.
Terms of use

You are permitted to access, download, copy, or print out content from eBooks for your own research or study only, subject to the Acceptable usage terms.

Other resources

IFRS model accounts and disclosure checklists Many illustrative financial statements and checklists are available online, providing example presentation and disclosure formats for preparers of IFRS accounts. We’ve compiled a list of regularly updated free sources for model accounts.
International GAAP 2024: The global perspective on IFRS
  • Website

Detailed guide on interpreting and implementing IFRS, with illustrative examples and extracts from financial statements. The manual is available online (free registration required) as part of EY Atlas Client Edition.

IFRS 16 Thematic Review: Review of Interim Disclosures in the First Year of Application
  • Website

Report with excerpts of published accounts illustrating good examples of disclosure and the FRC's key findings on transition to IFRS 16, changes to accounting policies, transition disclosures, significant judgements, disclosures, and comparability and use of alternative performance measures (APMs).

IAS Plus
  • Website

Overviews of each international accounting standard, with a history and timeline of key events and amendments.

Further support

Financial reporting helpsheets
Corporate reporting resources

Practical resources including factsheets, online guides and webinars on financial and non-financial reporting.

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