27 April 2020To:
Members of the Hong Kong Institute of CPAsAll other interested partiesINVITATION TO COMMENT ON IASB EXPOSURE DRAFTED/2020/2 Covid-19-Related Rent ConcessionsExposure Draft of a proposed amendment to IFRS 16Comments to be received by 4 May 2020The Financial Reporting Standards Committee (FRSC) of the Hong Kong Institute ofCertified Public Accountants (Institute) is seeking comments on the IASB Exposure DraftED/2020/2. The Exposure Draft (ED) is available on the Institute's website:
http://www.hkicpa.org.hk/en/standards-and-regulations/standards/financial-reporting/exposure-drafts/.Stakeholders have informed the International Accounting Standards Board (IASB) thatapplying the requirements of IFRS 16 Leases to assess whether rent concessions are leasemodifications and applying the required accounting for rent concessions that are leasemodifications to a potentially large volume of covid-19-related rent concessions could bepractically difficult, especially in the light of the many challenges stakeholders face duringthe pandemic. In response, the IASB has proposed an amendment to IFRS 16 to providelessees with practical relief during the covid-19 pandemic while enabling them to continueproviding useful information about their leases to investors.The proposed amendment would exempt lessees from having to consider whetherparticular covid-19-related rent concessions are lease modifications, allowing them toaccount for these changes as if they were not lease modifications. The amendment wouldapply to covid-19-related rent concessions that reduce lease payments due in 2020. TheIASB proposes no change for lessors.The IASB has responded quickly to provide support to stakeholders at this difficult time.Accordingly, the comment period on the proposal is short and the IASB aims to issue thefinal amendment, which would be available to lessees immediately, in May 2020.The FRSC invites your comments on the proposal as set out in the ED by 4 May 2020 toallow your comments to be considered in developing its response to the IASB. Commentsshould be supported by specific reasoning and should be submitted in written form.Comments may be sent by mail, fax or e-mail to:
Standard Setting DepartmentHong Kong Institute of Certified Public Accountants37th Floor, Wu Chung House213 Queen’s Road EastWanchai, Hong KongFax number (+852) 2865 6776E-mail: commentletters@hkicpa.org.hkComments will be acknowledged and may be made available for public review unlessotherwise requested by the respondent.
Invitation to Comment on IASB Exposure Draft ED/2020/2 Covid-19-Related Rent Concessions (Exposure Draft of a proposed amendment to IFRS 16)
下载原件27 April 2020To:
Members of the Hong Kong Institute of CPAsAll other interested partiesINVITATION TO COMMENT ON IASB EXPOSURE DRAFTED/2020/2 Covid-19-Related Rent ConcessionsExposure Draft of a proposed amendment to IFRS 16Comments to be received by 4 May 2020The Financial Reporting Standards Committee (FRSC) of the Hong Kong Institute ofCertified Public Accountants (Institute) is seeking comments on the IASB Exposure DraftED/2020/2. The Exposure Draft (ED) is available on the Institute's website:
http://www.hkicpa.org.hk/en/standards-and-regulations/standards/financial-reporting/exposure-drafts/.Stakeholders have informed the International Accounting Standards Board (IASB) thatapplying the requirements of IFRS 16 Leases to assess whether rent concessions are leasemodifications and applying the required accounting for rent concessions that are leasemodifications to a potentially large volume of covid-19-related rent concessions could bepractically difficult, especially in the light of the many challenges stakeholders face duringthe pandemic. In response, the IASB has proposed an amendment to IFRS 16 to providelessees with practical relief during the covid-19 pandemic while enabling them to continueproviding useful information about their leases to investors.The proposed amendment would exempt lessees from having to consider whetherparticular covid-19-related rent concessions are lease modifications, allowing them toaccount for these changes as if they were not lease modifications. The amendment wouldapply to covid-19-related rent concessions that reduce lease payments due in 2020. TheIASB proposes no change for lessors.The IASB has responded quickly to provide support to stakeholders at this difficult time.Accordingly, the comment period on the proposal is short and the IASB aims to issue thefinal amendment, which would be available to lessees immediately, in May 2020.The FRSC invites your comments on the proposal as set out in the ED by 4 May 2020 toallow your comments to be considered in developing its response to the IASB. Commentsshould be supported by specific reasoning and should be submitted in written form.Comments may be sent by mail, fax or e-mail to:
Standard Setting DepartmentHong Kong Institute of Certified Public Accountants37th Floor, Wu Chung House213 Queen’s Road EastWanchai, Hong KongFax number (+852) 2865 6776E-mail: commentletters@hkicpa.org.hkComments will be acknowledged and may be made available for public review unlessotherwise requested by the respondent.