Accounting

If you work in accounting or finance, IFRS 16 is one standard you cannot afford to misunderstand. Since it came into effect in January 2019, this lease accounting standard has changed the way businesses report their leases. The biggest shift? Most operating leases now show up on the balance sheet. But before you run any […]

Introduction If your finance team is still crunching IFRS 16 numbers inside a spreadsheet, you are not alone. Many businesses, from small companies to large enterprises, started their lease accounting journey with Excel. It felt familiar, flexible, and free. But here is the reality: IFRS 16 is not a simple standard. It involves complex calculations,

Managing leases used to be fairly simple, you signed a contract, made payments, and moved on. But since the International Accounting Standards Board introduced IFRS 16, everything changed. This accounting standard, which came into effect in January 2019, now requires businesses to recognize most leases directly on their balance sheets. For many finance teams, the

If you’ve ever sat in front of a spreadsheet trying to figure out lease liabilities, right-of-use assets, and discount rates all at once — you know how overwhelming IFRS 16 can feel. IFRS 16 (International Financial Reporting Standard 16) changed the way companies report leases. Since it came into effect in January 2019, businesses around

If you’ve ever signed a lease for office space, equipment, or vehicles on behalf of your company, you’ve already stepped into the world of IFRS 16, whether you realized it or not. For accountants, finance teams, and business owners, understanding this standard isn’t just a compliance checkbox. It changes how your entire balance sheet looks.

If your company is still working through its IFRS 16 transition or you’re reviewing past decisions one question comes up more than almost any other: Which transition method should we use? The short answer is: it depends on your leases, your reporting goals, and how much effort your team can absorb. But once you understand

If you’ve ever sat down to record an IFRS 16 lease and felt a little overwhelmed, you’re not alone. This standard changed the way businesses account for leases, and while the concept makes sense on paper, the actual journal entries trip up even experienced accountants every single day. The good news? Most of the errors

April 11, 2026 | 8 min read If your business signs leases whether for office space, equipment, or vehicles you’ve probably come across two big accounting standards: ASC 842 and IFRS 16. Both changed how leases are recorded on balance sheets, but they don’t work exactly the same way. Let’s break it down in plain English. What Is