IFRS 16, the new lease standard, will impact businesses
around the globe including those operating in Brazil. Leases will
now be incorporated into balance sheets creating hassles for
business.
International Financial Reporting Standard (IFRS) 16 is a new
standard that focuses on the treatment of leases, which went into
effect 1 January 2019. The objective of this standard is to ensure
more transparent financial statements requiring analyses and new
reporting for leases. This directive can have a big impact on
accounting and finances of companies all around the world. Brazil
is one of the countries affected by this change and if your
business has lease assets and liabilities, you must be aware of the
impact.
