Preface
We are pleased to present the 2025 edition of Leases (the
“Roadmap”). Since the issuance of ASU 2016-021 (codified as ASC 842) on February 25, 2016, the FASB has continued to discuss
and make updates to ASC 842 on the basis of implementation questions raised,
challenges identified by stakeholders, and the Board’s postimplementation review
process.2
The body of the Roadmap combines the requirements in ASC 842 with
Deloitte’s interpretations and examples in a comprehensive, reader-friendly format.
In addition, the Roadmap highlights (1) the requirements of ASC 842 that
significantly differ from those in ASC 840 and IFRS 16 and (2) recent
standard-setting developments (through April 15, 2025).
We hope that this publication will enable entities to deal with some
of the more challenging aspects of ASC 842. This publication has been developed for
readers who have been following every development of the standard as well as for
those who are working through the guidance for the first time. That is, it may
function as a quick resource guide for those who have a specific question and are
looking for a clear answer, or it may serve as an all-encompassing guide for those
who are still building up their knowledge base related to the leasing standard.
Although the mandatory effective date for entities has passed,
challenging questions remain, and we expect new implementation questions to continue
emerging. Accordingly, we will continue to develop guidance to help stakeholders
with implementation.
Further, the updated edition of this Roadmap includes some new
interpretations and certain modifications to previously expressed views to reflect
our latest thinking as well as input from standard setters and regulators. Appendix H highlights all new
content as well as any substantive revisions to previous content.
Be sure to check out On the
Radar (also available as a
stand-alone publication), which
briefly summarizes emerging issues and trends related to the
accounting and financial reporting topics addressed in the
Roadmap.
We encourage you to use this Roadmap as a guide throughout your
application of ASC 842 and to contact us with any questions or suggestions for
future improvements. However, the Roadmap is not a substitute for consulting with
Deloitte professionals on complex accounting questions and transactions.
We hope that you find this Roadmap helpful in navigating the ongoing
accounting requirements for leases.
Footnotes
1
For a list of the titles of standards and other literature
referred to in this publication, see Appendix F. For a list of
abbreviations used in this publication, see Appendix G.
2
For a complete list of proposed and final ASUs and more
information about how the ASUs issued amend certain aspects of ASC 842, see
Appendix
E.