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Old 19th April 2020 | 19:50
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ROC10
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Originally Posted by LGS6753
My understanding is that a Finance Lease is on-balance sheet and an Operating Lease is off-balance sheet.
Used to be the case but not anymore under IFRS 16.

IFRS 16 introduces a single lessee accounting model and requires a lessee to recognise assets and liabilities for all leases with a term of more than 12 months, unless the underlying asset is of low value. A lessee is required to recognise a right-of-use asset representing its right to use the underlying leased asset and a lease liability representing its obligation to make lease payments.

https://www.ifrs.org/issued-standard...frs-16-leases/
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