EFRAG issues final endorsement advice on Amendments to IFRS 16

  • EFRAG (European Financial Reporting Advisory Group) (dk green) Image

01 Feb, 2023

The European Financial Reporting Advisory Group (EFRAG) has issued its final endorsement advice letter relating to the use in the European Union (EU) of 'Lease Liability in a Sale and Leaseback' (Amendments to IFRS 16) (‘the Amendments’).

The Amendments specify how a seller-lessee subsequently measures sale and leaseback transactions that satisfy the requirements in IFRS 15 Revenue from Contracts with Customers to be accounted for as a sale.

EFRAG recommends the endorsement of the Amendments. EFRAG’s assessment is that the Amendments meet all the technical endorsement criteria of the IAS Regulation and are conducive to the European public good.

A press release and the endorsement advice letter to the European Commission are available on the EFRAG website. EFRAG has also updated its endorsement status report.

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