TFRS16 Leases Standard came into force by being published in the Official Gazette dated 16 April 2018 and numbered 29286, to be implemented as of January 1st, 2019.

The standard contributes to providing more reliable and transparent information about the financial situation of companies. While investors will be able to measure the financial structure of companies more accurately, the need to correct the amounts arising from operating leases will be eliminated.

Purpose of the Standard

The IAS16/TFRS16 standard includes principles regarding the recognition, measurement, presentation and disclosure of long-term leases in the financial statements, and the aim of the standard is to provide relevant information by presenting the leasing transactions of lessees and lessors in a realistic manner.

If a contract is, or contains, a lease if the contract conveys the right to control the use of an identified asset for a period of time in exchange for consideration. (TFRS 16, paragraph 9).

When evaluating whether a contract is a lease, an entity considers the right to gain substantially all of the economic benefits from the use of the identified asset and the right to manage the use of the identified asset together.

  1. The right to gain economic benefits from use: In order to control the use of the relevant asset, customer must have the right to gain almost all of the economic benefits obtained from the use of the asset.
  2. Right to manage usage: Within the framework of the contract, if the customer has the right to change how and for what purpose the asset will be used during the usage period, he/she has the right to manage the usage of the asset.

Adendum Service

As Adendum, from the first accounting period to following years; We ensure that the asset usage right amounts, interest expenses, accumulated and periodic depreciation amounts are calculated on actuarial principles and reported in the relevant financial statements in accordance with TFRS 16.