THEORETICAL ISSUES OF LEASE RELATIONS: ACCOUNTING ASPECT

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THEORETICAL ISSUES OF LEASE RELATIONS: ACCOUNTING ASPECT

Journal Title: Держава та регіони. Серія: Економіка та підприємництво - Year 2018, Vol 4, Issue 103

Abstract

Lease of fixed assets is the optimal solution to many problems for both leased and lessee. With the help of lease and leasing realized as the owner’s interests in obtaining income from its existing fixed assets, as well as the interests of the lessee, which, without burdening himself with a one-time full payment when acquiring them in the ownership, is able to use effectively the property acquired by him for the realization of its activities. Therefore, the vast majority of enterprises in Ukraine are either tenants or landlords today, and sometimes both and at the same time. The study of many domestic scientists is accounting for leasing operations. In scientific works, a considerable attention is paid to the classification of types of lease, the distinction between the terms “lease” and “leasing”, the procedure for calculating lease payments, and the harmonization of the requirements set forth in domestic and international accounting standards and financial statements. However, it does not pay attention to the disclosure of accounting aspects of the methodology of accounting for lease transactions taking into account the requirements of international accounting standards, which determines the relevance of this study. It is necessary to clearly delineate their definition and feature to perform lease transactions. There are no regulatory documents for the understanding of the unified nature of the leasing and leasing categories today. The authors attempted to determine the leverage and lease in the article, which can be taken as the basis of the essence of lease relations for further determination of their place in the system of accounting and analysis. Business activity of the enterprise can be carried out using fixed assets under lease and leasing. This article examines the issue of the economic nature of the lease and its reflection in accounting and financial reporting. The content of the category “lease” provided in the current legislation and regulations is considered. This article provides a comparative description of the lease in accordance with IFRS 17 “Leases” and P(S)A 14 “Leases” and TCU. It is revealed that the common in these interpretations are timely and paid asset utilization in the course of lease operations. And this article analyses the development of leasing operations in foreign countries, examines the accounting aspects of reflecting in accounting and financial reporting of leasing operations.

Authors and Affiliations

O. H. Drozdova, V. V. Lebedenko

Keywords

EP ID EP563437
DOI -
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