Collecting and classifying contracts is perhaps one of the biggest challenges facing organisations in their journey to become compliant with the new IFRS 16 accounting standard. Ensuring that this master data is collected, collated and recorded is paramount to a successful IFRS 16 project. Contracts (Leases) are entered into by various departments across a
IFRS 16 Are your Operational Leases actually Financial Leases? Download our IFRS 16 infographic here. Download
Companies may consider maintaining the status quo, such as using typical spreadsheet accounting. Unfortunately, this solution is likely to be a painful one if your organisation has a large volume of leases (jn excess of 100) and lease complexity exists. Accounting firms do provide bolt-on or standalone solutions that can align internal systems.
IFRS 16 is here. And there’s some good news for SAP customers As you're no doubt aware, IFRS 16 Leases – and its Australian equivalent, AASB 16 - is here and comes into effect on 1 January 2019. Some companies are on top of it. - others are aware but unsure of their obligations.