Operating Lease Amortization

Rule ID: DQC_0132 for US GAAP - approved January 19, 2022.
View: as part of approved release v17.0.0 || public exposure version & comments.

Rule function

In many cases companies report the amortization expense associated with operating lease right of use assets. The element OperatingLeaseRightOfUseAssetAmortizationExpense was added in the 2020 US GAAP taxonomy to collect this data. Prior to the 2020 taxonomy, companies created an extension to report this data. Subsequent to the addition of the element to the 2020 taxonomy, companies continued to use the extension element and did not replace it with the standard element. This rule identifies company extension elements that should be replaced with the us-gaap element defined in the taxonomy. The rule identifies the extension elements by looking at the attributes and text of extension items to determine if the element represents the amortization of operating lease assets. The rule identifies the extension elements using the following logic:

	Logic to Identify Extension
1.	Contains the text ‘operating’ and ‘lease’ and ‘rightofuseasset’ and (‘expense’ or ‘amortiz’ or ‘depreci’)
2.	Does not contain the text ‘finance’, ‘increasedecrease’, ‘excluding’, ‘relatedparty’,’liabilit ‘,’accumulated’, ‘rent’ ,’reversa’, ‘propertyplantandequipment’, ‘restructuring’, ‘remeasurement’, ‘disposal’,’credit’, ‘current’, ‘noncurrent’, ‘impairment’, ‘writeoff’, ‘abandonment’, ‘accelerated’, ‘accretion’, ‘reduction’,’income’
3.	The period type is a duration
4.	The balance type is a debit

Example rule message

The concept amwd:OperatingLeaseRightOfUseAssetsAmortization has been included as an extension item in the filing where a standard element could be used. The standard element OperatingLeaseRightOfUseAssetAmortizationExpense was added in the 2020 version of the U.S. Generally Accepted Accounting Principles (GAAP) taxonomy for filers to tag this expense. While filers using the 2019 or an earlier version of the U.S. GAAP taxonomy for their fiscal year 2020 filings would have to create custom tags to tag this expense, SEC staff observed that some filers using the 2020 version of the U.S. GAAP taxonomy still tagged the expense using custom tags instead of the standard element.

If this element represents the element OperatingLeaseRightOfUseAssetAmortizationExpense then the extension element should be removed.

Rule Element ID: 9727
Rule version: 17.0.0RC1

For Developers

The Global Rule Logic document contains general guidelines for implementation of rules.

The rule message template contains text and parametric reference to arguments of the rule operation, using the syntax ${parameter} to indicate that insertion of a parameter’s value is to occur.

Message template

The concept {$extension} has been included as an extension item in the filing where a standard element could be used. The standard element OperatingLeaseRightOfUseAssetAmortizationExpense was added in the 2020 version of the U.S. Generally Accepted Accounting Principles (GAAP) taxonomy for filers to tag this expense. While filers using the 2019 or an earlier version of the U.S. GAAP taxonomy for their fiscal year 2020 filings would have to create custom tags to tag this expense, SEC staff observed that some filers using the 2020 version of the U.S. GAAP taxonomy still tagged the expense using custom tags instead of the standard element.

If this element represents the element OperatingLeaseRightOfUseAssetAmortizationExpense then the extension element should be removed.

Rule Element ID: {$rule_id}
Rule version: {$ruleVersion}