Gartner Research

This Imminent Accounting Change Requires Immediate Action

Published: 19 May 2015

ID: G00273084

Analyst(s): Darryl Carlton


Changes to the accounting rules dealing with the treatment of leased assets (FAS13 and IAS17) now have a 15 December 2015 implementation date. This will force accounting and finance managers to reconsider how they fund IT investments and make genuine cloud arrangements more attractive.

Table Of Contents


  • Specific Wording of the Decisions Reached
    • Proposed Clarifications to the Codification
    • Transition, Effective Date, and Early Adoption
    • Transition Disclosures
  • Where Things Stand
  • What's Changing
  • Obtain Independent Financial and Legal Advice
  • When Asset Control and Ownership Can Be Traced to Your Organization Lease Arrangements Are Unlikely to Meet the Standards for Expensing Costs
    • Recommendations
  • FAS13 and IAS17 Will Require CIOs to Capture and Report All Lease Arrangements
    • Recommendations
  • Multiyear Lease Arrangements Will Result in an Increase in the Reporting of Assets and Liabilities
    • Recommendations
  • CIOs Will Be Forced to Re-evaluate Make/Buy and Hosting Decisions for New Application Deployments
    • Recommendation

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