IFRS 15 Revenue from Contracts with Customers is the new standard on revenue accounting that significantly impacts revenue recognition and measurement. Its implementation may also have broader implications on tax positions and key performance indicators. IFRS 15 provides clear guidance on when revenue is to be recognised, either over time or at a point in time. It also deals with the presentation of contract assets and contract liabilities and requires enhanced disclosure requirements on revenue.
IFRS 16 Leases will have a significant impact on lease accounting for lessees. This IFRS applies a new “rights and obligations” approach for lessee accounting that requires a lessee to capture all assets and liabilities in lease contracts, regardless of whether it transfers substantially all the risks and rewards incidental to ownership. Unlike the current IAS 17, which differentiates finance and operating leases, IFRS 16 no longer makes this distinction. This new approach will affect reporting entities with significant off-balance sheet operating leases accounted for under the current IAS 17. IFRS 16 also changes the definition of a lease, which may bring within its scope contracts or arrangements that were previously not accounted for as leases under the current IAS 17. IFRS 16 has also changed the accounting requirements on sale and leaseback arrangements and has provided new requirements on sublease arrangements.
These two IFRSs are inter-related since some revenue contracts with customers may contain a lease component whilst some lease contracts may contain a revenue component. In these circumstances, a reporting entity would need to apply both IFRS 15 and IFRS 16. The second edition cover the following:  References to actual company practices on revenue and lease accounting.  Additional guidance on complex revenue and lease accounting treatments.  Addressing emerging issues such as contract costs, transfer of goods and services over time, and interest capitalisation on property development projects.  Additional guidance on intragroup construction and property development activities, and intragroup lease arrangements.  More detailed guidance on the accounting procedures for revenue and lease accounting.  Tax treatments and tax effects of sales of goods and services, construction contracts, property development activities and lease arrangements. IFRS 15 is effective for financial statements with reporting periods beginning on or after 1 January 2018, while IFRS 16 is effective for financial statements with reporting periods beginning on or after 1 January 2019.