• Date of initial application — The first day an entity applies the transition provisions of ASC 842 to its Innovation & Technology
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Alternatively, the entity has the option to apply the amendments in either the first reporting period ending after the issuance of this Update (for example, December 31, 2018) or in the first reporting period beginning after the issuance of this Update (for example, January 1, 2019). The timeline for implementation of ASC 842 is key, with varying dates for public and non-public companies. Employee Benefit Plan Audits
Specifically, the Board tentatively decided to change the effective dates of standards on topics in the FASB Accounting Standards Codification(ASC) as follows: 1. How to approach compliance with the ASC 842 changes. ... As you’re going through ASC 842 implementation, it’s best to follow a well-thought out plan, stick to your timeline and depend on proven tools to streamline the transition process. Following the November 15 official announcement of implementation delays, the effective dates for ASC 842 are as follows:. 2016- 02, Leases (Topic 842),to increase transparency and comparability among organizations by recognizing lease assets and lease liabilities on the balance sheet and disclosing key information about leasing transactions. View a Demo of Visual Lease. For example, more arrangements could be considered embedded leases under the new guidance and, in some cases, value may need to be assigned among both lease and non-lease components of arrangements.