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what is mean by substance over form
IAS 17 leases
- Thread starter Tay Yong Kui
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It means that it is the true nature of a transaction that should be accounted for rather than simply the transaction at face value.
So, applying it to IAS 17, the substance of a lease agreement might indicate a finance lease (has to go on the balance sheet), rather than an operating lease (doesn't go on the balance sheet).
Also, Substance over Form is a fundamental accounting concept rather than just applicable to particular accounting standards.
So, applying it to IAS 17, the substance of a lease agreement might indicate a finance lease (has to go on the balance sheet), rather than an operating lease (doesn't go on the balance sheet).
Also, Substance over Form is a fundamental accounting concept rather than just applicable to particular accounting standards.