In May 2013 the IASB published Exposure Draft ED/2013/6 Leases.  For lessees, the Exposure Draft ED/2013/6 Leases proposes the recognition of a liability and a right-of-use asset for all leases with a profit or loss impact dependent on the classification of a lease. The lessor model in the ED is similar to current lease accounting with some nuances for the recognition of revenue and discounting of the residual asset. The proposals are only applicable for leases with a lease term of more than 12 months. 

EFRAG published their draft comment letter in July 2013 and the final comment letter was published in October 2013. 

The feedback statement (link to EFRAG website) provides an analysis of the EFRAG tentative position expressed in the draft comment letter, describes the comments received from constituents and then highlight how these comments were considered by the EFRAG Technical Group (EFRAG TEG) in reaching their final position on the IASB ED set out in their final comment letter to the International Accounting Standards Board (IASB).  The feedback statement also provides an overview of the results of the field test, on the ED conducted by EFRAG together with the National Standard Setters of France, Germany, UK and Italy.

Click for:

• EFRAG press release (link to EFRAG website).
• Feedback statement in full (link to EFRAG website).
• UK Accounting Plus story on ED/2013/6 Leases.
• UK Accounting Plus story on the results of the EFRAG field test.
• UK Accounting Plus page on the Leasing project.