FRC issues amendment to FRS 102 rent concessions
Last year the Financial Reporting Council (FRC) issued a limited time amendment to both FRS 102 and FRS 105 for rent concessions as a result of the current COVID-19 crisis. When certain conditions were met, it allowed companies to take rent concessions given by landlords in the period from 1 April 2020 to 30 June 2021 directly to the income statement instead of this being an adjustment to the total payments to the operating lease over its life.
It has now extended the application of requirements by one year and therefore now applies to concessions until 30 June 2022. The associated time condition has been extended to allow the criteria to be applied consistently to concessions that are comparable in nature to those covered by the original criteria.
The full FRC release found here:
