Annualization is a process outlined in the Internal Revenue Code in the United States, where taxable income for part of a year is extended or 'annualized' to a full year by multiplying it by 12 and dividing by the number of months involved. This computation gives a standardized monthly income amount for tax-related purposes.
A C-type reorganization, also known as a stock-for-assets reorganization, is a type of corporate restructuring defined under the Internal Revenue Code (IRC) section 368(a)(1)(C). This specific type of merger involves the acquisition by one corporation of substantially all of the properties of another corporation solely in exchange for all or a part of its voting stock.
The term 'Code' in various contexts may refer to the Internal Revenue Code governing federal taxation, source code within computer programs, or compilations of laws like the Motor Vehicle Code.
A dependent is any person whom a taxpayer can claim a dependency exemption for, defined by the Internal Revenue Code as any individual supported by the taxpayer who is related to the taxpayer in specified ways or who makes their principal abode in the taxpayer's household.
Depreciable real estate refers to property used in trade, business, or investment that is subject to depreciation deductions under Section 167 of the Internal Revenue Code. Land itself is generally not depreciable.
Depreciable real estate refers to property used in a trade or business, or held for investment purposes, which is subject to depreciation under Section 167 of the Internal Revenue Code. Typically, land itself is not depreciable; however, land with minerals may be subject to depletion.
An E-Type Reorganization, also known as Recapitalization, is a type of corporate restructuring under the Internal Revenue Code that involves significant changes in the composition of a company's capital structure.
In both insurance and taxation, exclusion rules determine what items or amounts are not covered by policies or not included in gross income, respectively.
An exempt organization is a type of entity that is exempt from federal income tax under the Internal Revenue Code (IRC) based on its purpose and organizational structure. These organizations are commonly known as nonprofits or not-for-profits.
The Internal Revenue Code (IRC) is the comprehensive set of laws enacted by the United States Congress and enforced by the Internal Revenue Service (IRS) that defines the rules and regulations governing federal taxation.
A collection of tax laws that are enacted by the federal government of the United States to administer tax obligations on individuals, corporations, and other entities.
The Internal Revenue Code of 1986 (IRC) is a comprehensive statute passed by Congress that outlines the laws governing the taxation of income. It details how income is to be taxed, what may be deducted from taxable income, and the provisions for enforcement and interpretation.
The IRS is the United States federal government agency responsible for collecting taxes and administering the Internal Revenue Code. It ensures compliance with tax laws, investigates tax abuses, and prosecutes tax fraud.
Lexis is an online database for legal research; its resources include the Federal Tax library, which contains the full text of the Internal Revenue Code, as well as regulations, revenue rulings, and court decisions of interest to tax practitioners.
An analysis of Net Operating Loss (NOL), detailing its definition, examples, frequently asked questions, related terms, resources, and suggested readings.
A qualifying stock option is a privilege granted by a corporation to its employees, allowing them to purchase the company's capital stock at a special price under specific conditions outlined in the Internal Revenue Code.
A Regulated Investment Company (RIC) is a type of investment company in the United States that is eligible to pass through income to shareholders without having to pay taxes at the corporate level, provided it complies with certain regulatory requirements outlined by the Internal Revenue Code.
Official interpretations of the Internal Revenue Code (IRC) issued by the Treasury Department (IRS) that have the force and effect of law to guide taxpayers and tax professionals.
Section 1031 of the Internal Revenue Code addresses tax-free exchanges of certain properties, primarily real estate, provided specific conditions are met.
Section 1231 of the Internal Revenue Code deals with assets used in a trade or business, providing for capital gains treatment on gains and ordinary loss treatment on losses from such assets.
Section 167 of the Internal Revenue Code details the rules and methodology regarding depreciation deductions for assets used in a trade or business or held for the production of income.
A section of the Internal Revenue Code of 1986 (IRC) that allows the cost of capital improvements for qualifying personal property to be deducted in the year of acquisition rather than being recovered over time through depreciation.
Subchapter C refers to the portion of the Internal Revenue Code that covers corporate taxation, outlining the rules and regulations for how corporations are taxed in the United States.
Subchapter J of the Internal Revenue Code concerns the taxation provisions related to estates, trusts, beneficiaries, and decedents. It outlines the rules and regulations for income distribution, fiduciary responsibilities, and tax computation for these entities.
A Subchapter S Corporation, commonly referred to as an S Corporation, is a special type of corporate structure recognized under Subchapter S of the Internal Revenue Code. It allows corporations to pass corporate income, losses, deductions, and credits through to their shareholders for federal tax purposes.
A tax-deferred exchange, commonly known as a 1031 exchange, allows for the deferral of capital gains taxes on an exchange of like-kind properties.
A tax-free exchange, often facilitated under Section 1031 of the Internal Revenue Code, allows for the exchange of one investment property for another while deferring capital gains taxes.
A Treasury Decision (T.D.) is a formal pronouncement issued by the United States Department of Treasury that implements, interprets, or prescribes law or policy related to taxation and the Internal Revenue Code.
