THE IMPACT OF IMPLEMENTING PSAK 73 ON FISCAL CORRECTIONS AND CORPORATE TAXATION IN INDONESIA FROM THE LESSEE SIDE

Abstract

PSAK 73 is a news standard on lease effective January 1, 2020 was adopted from IFRS 16 had a major impact on lease transactions for lessees, so they are required to classify almost all of their lease transctions as finance lease by showing right of use assets and lease liabililites in statement of financial position. Implementation of PSAK 73 also has an impact on fiscal corrections that need to be made by lessees in calculating taxable income and imcome tax expense. Lesses discussed in this paper is a business entities operating in Indonesia and tax subject in that country. The purpose of weiting this paper is to determine application of PSAK 73 in lease transactions and impact on corporate tax including fiscal corrections from the lessees side. Using quantitative reaserch methods. This research data was taken from the company’s official website. The results of this research conclude that the implementation of PSAK 73 will hace an impact on the company’s Financial Report by increasing the recognition of right-of-use assets and lease liabilities.