BC84 Many lessees expressed concerns about the costs of applying the requirements in IFRS 16 to leases that are large in number but low in value, particularly when the aggregate value of those leases would have little effect on the financial statements as a whole. These lessees thought that applying the requirements of IFRS 16 to those leases would involve a significant amount of time and effort without a corresponding benefit in terms of the effect on reported information.
BC85 In the light of these concerns, the IASB considered including explicit guidance on materiality within IFRS 16 - either an explicit reminder that immaterial leases are excluded from the scope of IFRS 16 or by providing clarity about how the concept of materiality in the Conceptual Framework and in IAS 1 Presentation of Financial Statements applies to leases. The IASB observed that the concept of materiality applies to leases, however, other Standards do not provide materiality guidance about particular transacti
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