Insights

We are proud to be named a West Coast Regional Leader for 2024

< Back to Insights and Resources

Updated lease accounting guide

ARTICLE | November 14, 2024

Authored by RSM US LLP


A guide to lease accounting under ASC 842 assists lessees and lessors in applying the guidance in Topic 842, Leases, of the Financial Accounting Standards Board’s Accounting Standards Codification. The November 2024 edition of this guide has been updated for the following:

  • Added discussion of:
    • Terminal rental adjustment clauses
    • Modifications that grant additional rights of use and make additional changes
    • Short payments by a lessee
    • Modifications that decrease the lessee’s right of use
    • Sale of future operating lease payments that do not meet the definition of a receivable
    • Lessor accounting for short payments by a lessee
    • Classification of a lease acquired in an asset acquisition transaction
  • Expanded discussion of the presentation of lease activity in the cash flow statement
  • Other minor updates and clarifications

Let's Talk!

Call us at +1 213.873.1700, email us at solutions@vasquezcpa.com or fill out the form below and we'll contact you to discuss your specific situation.

  • Topic Name:
  • Should be Empty:

Source: RSM US LLP.
Reprinted with permission from RSM US LLP.
© 2024 RSM US LLP. All rights reserved. https://rsmus.com/insights/financial-reporting/updated-lease-accounting-guide.html

RSM US LLP is a limited liability partnership and the U.S. member firm of RSM International, a global network of independent assurance, tax and consulting firms. The member firms of RSM International collaborate to provide services to global clients, but are separate and distinct legal entities that cannot obligate each other. Each member firm is responsible only for its own acts and omissions, and not those of any other party. Visit rsmus.com/about for more information regarding RSM US LLP and RSM International.

​Vasquez + Company LLP has over 50 years of experience in performing audit, tax, accounting, and consulting services for all types of nonprofit organizations, governmental entities, and private companies. We are the largest minority-controlled accounting firm in the United States and the only one to have global operations and certified as MBE with the Supplier Clearinghouse for the Utility Supplier Diversity Program of the California Public Utilities Commission.

For more information on how Vasquez can assist you, please email solutions@vasquezcpa.com or call +1.213.873.1700.

Subscribe to receive important updates from our Insights and Resources.

  • Should be Empty: