Lease Incentives - Mid Lease
SummaryLease Incentive is a Negative Amount in Mid-Lease
After having extended a lease we received a one-time payment (lease incentive) in the middle of a lease current lease term. This would represent a negative amount for the month in question, not a reduction in the payment amount over the length of the lease.
As per Guaranteed Residual Value And Lease Incentives-Fixed Asset's Lease (Doc ID 2637054.1) "...Lease incentive is a onetime payment, received by the lessee at start of the lease or end of the lease – Enter a negative onetime payments as initial direct cost...."
As per Questions Oracle Lease Assets on How it Supports IFRS16 Guidelines (Doc ID 2499062.1) – “…