Lease Classification in Primary and Secondary Ledgers

Classify and account for leases differently under different accounting standards. Allow multinational organization lease administrators to generate accounting for a lease as a compliant lease, classified as either a Finance or Operating lease in the primary ledger under one GAAP, and as an exempt lease in the secondary ledger under another GAAP.

The following screenshot describes creating a lease with Primary Accounting Classification as Exempt and Secondary Accounting Classification as Finance Lease:

Create Lease page

Business Benefits:

• Enforce lease accounting policies consistently across the organization.
• Ensure compliance with accounting for leases under ASC 842, IFRS 16 and Japanese GAAP.

Steps to Enable

Use the Opt In UI to enable this feature. For instructions, refer to the Optional Uptake of New Features section of this document.

Offering: Financials  No Longer Optional From: Update 25A

Access Requirements

You do not need any new role or privilege access to set up and use this feature.