Illustration of the IFRS 16 review: a lease contract, buildings and three connected areas of review
IFRS 16 in focus: remeasurements, discount rates and rent concessions. Editorial illustration by Niederhauser Consulting.

What was decided, and what remains outstanding

On 21 July 2026, the IASB confirmed its conclusions and the addition of further work to its project pipeline. A project summary and feedback statement is planned for the fourth quarter of 2026, subject to approval by the Due Process Oversight Committee. Concluding the deliberations should therefore be distinguished from publishing the final report. Source: IASB Update July 2026.

Remeasurements and discount rates in focus

The work will explore less frequent lease liability remeasurements, simpler adjustments for index- or rate-linked payments and simplified discount rates. Retaining an unchanged rate for some remeasurements is another option to investigate. These are research directions, not accounting choices already available. Source: IASB Update, Agenda Paper 7A.

Rent concessions: the interaction of IFRS 16 and IFRS 9

A narrow clarification will address cases where the only contractual change is forgiveness of lease payments due. The IASB intends to combine this work with the research project. Source: IASB Update, Agenda Paper 7A.

These decisions alone do not create new rules

The planned investigations do not justify anticipating changes in accounting or SAP configuration. Any future adjustments must be assessed against subsequent binding requirements and their effective dates.

Our perspective for SAP RE-FX and CLM

The following points are our interpretation for project delivery. They are not an announcement of SAP functionality or a product roadmap.

  • Keep remeasurements traceable: document the trigger, effective date, contract version and valuation result together. Future changes can then be mapped to index adjustments and the affected valuation periods.
  • Keep rate determination configurable: the methodology, underlying data and approval of a rate should remain traceable. Implement custom rules through extension options supported by the relevant product and release wherever possible.
  • Record rent concessions clearly: document forgiven payments, other contractual changes and the accounting rationale separately. A condition change alone does not fully describe the business event.
  • Prepare regression cases: maintain representative examples for index changes, lease term adjustments and rent concessions with expected valuation and posting results. This provides a reliable basis if changes become necessary later.

For current projects, the immediate benefit lies in a traceable, maintainable architecture. Unnecessary custom logic increases the effort of subsequent adjustments; a clear link between business requirements, configuration and test evidence makes new requirements easier to assess.

Further reading and your next step

Explore our approach to IFRS 16 and Contract & Lease Management and SAP RE-FX consulting. Our article SAP RE-FX, CLM and IFRS 16: choosing the right deployment model provides system landscape context.

Would you like to review the traceability of your valuation processes or rate determination? Contact us to discuss your situation.

Sources and editorial status

Sources checked on 12 September 2026. This special news is based on the written IASB decisions; SAP implications are identified as our own interpretation.

This article provides general professional information and does not replace an assessment of the specific contract and accounting circumstances. All information is provided without warranty.

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