Audit and Accounting Guide - Depository and Lending Institutions

Chapter 12 Other Assets, Other Liabilities, and Other Investments

Gray shaded text in this chapter reflects guidance issued but not yet effective as of the date of this guide, July 1, 2018, but becoming effective on or prior to December 31, 2018, exclusive of any option to early adopt ahead of the mandatory effective date. Unless otherwise indicated, all unshaded text reflects guidance that was already effective as of the date of this guide.

Update 12-1 Accounting and Reporting: Leases

FASB Accounting Standards Update (ASU) No. 2016-02, Leases (Topic 842), issued in February 2016, is effective for fiscal years of a public business entity, a not-for-profit entity that has issued, or is a conduit bond obligor for, securities that are traded, listed, or quoted on an exchange or an over-the-counter market, and an employee benefit plan that files financial statements with the SEC beginning after December 15, 2018, including interim periods within those fiscal years.

For all other entities, FASB ASU No. 2016-02 is effective for fiscal years beginning after December 15, 2019, and interim periods within fiscal years beginning after December 15, 2019.

Early application is permitted for all entities.

FASB ASU No. 2016-02 supersedes the lease requirements in FASB Accounting Standards Codification (ASC) 840, Leases, and creates FASB ASC 842, Leases, to establish the principles that ...