KPMG Handbook: Leases in US GAAP (June 2022 Edition)

Latest edition: In this handbook, KPMG explains the leases standard (ASC 842) in detail. We provide detailed Q&As, examples and observations, as well as comparisons to legacy US GAAP.


ASC 842 (ASU 2016-02 Section AASU 2016-02 Section BASU 2016-02 Section CASU 2018-01ASU 2018-10ASU 2018-11ASU 2018-20ASU 2019-01ASU 2019-10ASU 2020-02ASU 2020-05ASU 2021-05ASU 2021-09)

  • All companies with leases in the scope of ASC 842

Relevant dates

Effective date Public business entities and certain other entities* All other entities
Annual periods – Fiscal years beginning after In effect December 15, 2021
Interim periods – In fiscal years beginning after In effect December 15, 2022
Early adoption allowed in fiscal years beginning after In effect Yes
* (1) public business entities; (2) not-for-profits that have issued, or are conduit bond obligors for, securities that are traded, listed or quoted on an exchange or an over-the-counter market; and (3) employee benefit plans that file financial statements with the SEC.


Report contents

  • Scope and definition of a lease
  • Identifying and separating components of a contract
  • Concepts and definitions applicable to lessees and lessors
  • Lessee accounting model
  • Lessor accounting model
  • Subleases
  • Sale-leaseback accounting
  • Income tax effects
  • Leases acquired in a business combination or asset acquisition
  • Disclosures, effective dates and transition
Download from KPMG FRV

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