The American Institute of CPAs wrote to the Financial Accounting Standards Board this week seeking a delay in the implementation of a new lease accounting standard. The standard—which is already in effect for public firms—is set to take effect for private companies on Jan. 1, 2020. The AICPA called for a one-year delay for these companies, citing concerns from accountants about balancing this change with other significant accounting changes currently underway, including the implementation of the current expected credit loss framework for loan loss accounting.
“With the significant and complex standards recently issued by the board including leases, revenue, and CECL, [AICPA’s technical issues committee] believes they should be given special consideration considering the effective dates are so close together and the changes are quite substantial and will require significant time to adopt,” AICPA said. Read the letter.