In the wake of the pandemic, many lessors have extended rent concessions to lessees. However, applying the Ind-AS 116 requirements for changes to lease payments could have posed practical difficulties in the current situation.
NEW DELHI: The government has amended certain Indian Accounting Standards (Ind-AS), including the standard relating to leases, amid the coronavirus pandemic and some of them could have a significant impact on decision-making for businesses.
Ind-AS 103, 116 and some other standards have been amended by the Corporate Affairs Ministry.
While Ind-AS 103 pertains to business combinations, Ind-AS 116 relates to principles for recognition, presentation, and disclosure of leases.
In the wake of the pandemic, many lessors have extended rent concessions to lessees. However, applying the Ind-AS 116 requirements for changes to lease payments could have posed practical difficulties in the current situation.
