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When a short term/low value lease does not follow an even payment schedule, the system automatically flags the deferred rent option on the lease book. Accordingly, the difference between between the payment amount and the straight line rent amount is posted to a deferred rent account each period.


IFRS 16 does not require this treatment and therefore the 'default setting' for deferred rent should be "no". This should only remain as a possible option at most.

Category: Asset Leasing
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