16 February 2021To:
Members of the Hong Kong Institute of CPAsAll other interested partiesINVITATION TO COMMENT ON IASB EXPOSURE DRAFTED/2021/2 Covid-19-Related Rent Concessions beyond 30 June 2021Proposed amendment to IFRS 16Comments to be received by 22 February 2021The Financial Reporting Standards Committee (FRSC) of the Hong Kong Institute ofCertified Public Accountants (Institute) is seeking comments on the IASB Exposure DraftED/2021/2. 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/The International Accounting Standards Board (IASB) is proposing an amendment toextend the time period over which the practical expedient in paragraph 46A of IFRS 16Leases is available for use. This practical expedient permits lessees to elect not to assesswhether particular rent concessions occurring as a direct consequence of the Covid-19pandemic are lease modifications; and instead, to account for those rent concessions as ifthey were not lease modifications. The IASB proposes to extend the relief to cover rentconcessions that reduce only lease payments due on or before 30 June 2022.The IASB decided to propose this amendment to IFRS 16 in light of stakeholder requestsand information that lessors are continuing to grant Covid-19-related rent concessions tolessees, and the ongoing significant effects of the Covid-19 pandemic.The IASB is working to publish the amendment quickly to provide support to stakeholdersat this difficult time. Accordingly, the comment period on the ED is short, and the IASB aimsto issue the final amendment by the end of March 2021. The amendment would be availableto lessees immediately.The FRSC invites your comments on the proposal as set out in the ED by 22 February2021 to allow your comments to be considered in developing its response to the IASB.Comments should be supported by specific reasoning and should be submitted in writtenform.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/2021/2 Covid-19-Related Rent Concessions beyond 30 June 2021 Proposed Amendment to IFRS 16
下载原件16 February 2021To:
Members of the Hong Kong Institute of CPAsAll other interested partiesINVITATION TO COMMENT ON IASB EXPOSURE DRAFTED/2021/2 Covid-19-Related Rent Concessions beyond 30 June 2021Proposed amendment to IFRS 16Comments to be received by 22 February 2021The Financial Reporting Standards Committee (FRSC) of the Hong Kong Institute ofCertified Public Accountants (Institute) is seeking comments on the IASB Exposure DraftED/2021/2. 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/The International Accounting Standards Board (IASB) is proposing an amendment toextend the time period over which the practical expedient in paragraph 46A of IFRS 16Leases is available for use. This practical expedient permits lessees to elect not to assesswhether particular rent concessions occurring as a direct consequence of the Covid-19pandemic are lease modifications; and instead, to account for those rent concessions as ifthey were not lease modifications. The IASB proposes to extend the relief to cover rentconcessions that reduce only lease payments due on or before 30 June 2022.The IASB decided to propose this amendment to IFRS 16 in light of stakeholder requestsand information that lessors are continuing to grant Covid-19-related rent concessions tolessees, and the ongoing significant effects of the Covid-19 pandemic.The IASB is working to publish the amendment quickly to provide support to stakeholdersat this difficult time. Accordingly, the comment period on the ED is short, and the IASB aimsto issue the final amendment by the end of March 2021. The amendment would be availableto lessees immediately.The FRSC invites your comments on the proposal as set out in the ED by 22 February2021 to allow your comments to be considered in developing its response to the IASB.Comments should be supported by specific reasoning and should be submitted in writtenform.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.