This study discusses the current and proposed accounting policies related to AASB 117 and AASB 16 leases of premises, their impact on financial statements, and potential economic consequences of the changes. AASB 16 introduces a single lessee accounting model, while AASB 117 requires leases to be categorized as operating or financial leases. The changes have a wide-reaching effect on lessees' business, systems, and controls. The adoption of AASB 16 is likely to have a materialistic effect on the consolidated financial statement of the Group. The proposed standard will impact the contracts amid managers as well as stakeholders and will require changes in disclosures method for lease accounting by the companies on which accounting standard of the lease is applicable.