Nonprofit Resources

FASB Issues New Guidance on Lease Accounting

On February 25, 2016, the FASB issued an Accounting Standards Update (ASU) on financial reporting for leasing transactions.

The ASU will require organizations that lease assets to recognize on the balance sheet the assets and liabilities for the rights and obligations created by the leases. A lessee will be required to recognize assets and liabilities for leases with lease terms of more than 12 months.

You can read the complete ASU here. The FASB has also provided the following resources:

• FASB In Focus overview
• FASB: Understanding Costs and Benefits
• Why a New Leases Standard? (video)
• March 29, 2016 “FASB Accounting Standards Update on Leases” webinar

We will provide more information as it becomes available. If you have any questions, please contact us.

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