ELFA - Equipment Leasing and Finance Association - Equipping Business for Success

Lease Accounting Tools for Lessors and Lessees

This page contains resources and information to help you prepare for the new lease accounting standard from the Financial Accounting Standards Board.

Please note: ELFA members are welcome to share the following documents with your staff, vendor partners, end-users and other stakeholders. If you reproduce this material, please credit ELFA as follows: “This information is brought to you by COMPANY NAME and the Equipment Leasing and Finance Association.”

Tools to Prepare:

  • Submit Your Lease Accounting Questions
  • To help you prepare for the new lease accounting standard, ASC 842, ELFA’s Financial Accounting Committee has created a Lease Accounting Resource Group (LARG) comprised of key industry lease accounting experts. The goal of the LARG is to solicit or identify technical accounting questions and issues related to the implementation of ASC 842 and provide ELFA members with opinions and guidance to consider in your implementation. Learn more and submit your questions or concerns.


  • FASB proposes delay in accounting standards
    FASB voted on July 17 to propose delaying the effective dates for both the leases and credit losses standards. Read more
  • ELFA Submits Comment Letter
    In September 2018 ELFA filed a formal Comment Letter with the FASB on proposed amendments to the new lease accounting standard.  The Proposed Accounting Standards Update, Leases (Topic 842):  Narrow-Scope Improvements for Lessors, responds to three post-issuance questions:  the accounting for sales, use and similar taxes; the accounting for other costs paid by a lessee that may benefit a lessor; and variable payments when contracts have lease and non-lease components. Read the letter.
  • FASB proposes three simplifications for lessors
    On Aug. 13, 2018, the FASB released for comment three proposals to simplify lessor accounting.  The first relates to sales taxes collected by lessors, the second to costs paid by lessees related to the leased asset (such as insurance and property taxes) and the third to variable payments in combined lease and service arrangements. The proposals are available at the FASB website.  Comments on these proposals are due on Sept. 12, 2018.  ELFA is in the process of reviewing this Proposed Accounting Standards Update to ASC 842 and plans to submit a comment letter.
  • FASB Finalizes Two Major Changes to the Leases Standard
    On July 30, 2018, the FASB issued ASU 2018-11, Leases (Topic 842): Targeted Improvements, which makes two significant changes to the leasing standard. The first change will allow companies to adopt the standard without restating prior financial results. The second change will allow operating lessors to not separate lease and non-lease components (rents and services, for example) if the recognition pattern is the same. The ASU is available on the FASB's website.
  • FASB Finalizes Technical Amendments to the Leasing Standard
    On July 18, 2018, the FASB issued ASU 2018-10, Codification Improvements to Topic 842, Leases.  The amendments, which were exposed earlier in the year, are a series of technical corrections to Leases and do not mark any broad changes to the standard.  There are eight amendments in total.  Of particular interest to lessors are issues:
    1. No. 2, addressing situations where there might be a negative implicit rate in a lease;
    2. No. 4, covering instances when a lease is modified;
    3. No. 6, clarifying the impact on ITC on a lessor's accounting.
  • FASB Agrees to Amendments to Help Ease Burden of Leases Implementation
    At a November 2017 meeting, the FASB agreed to incorporate two amendments to help ease the burden of adoption and implementation of the new lease accounting standard (Topic 842). Read more.


Related Resources and Analysis:


If you have questions about accessing any of the documents on this page, please contact Amy Vogt at avogt@elfaonline.org