A requirement for taxpayers who do not have adequate tax withheld regularly, often applicable to self-employed individuals. It ensures that taxpayers can manage their tax liability by paying estimated taxes quarterly.
Itemized deductions are specific, individualized tax deductions allowed under provisions of the Internal Revenue Code and state and municipal tax codes for particular expenses incurred by the taxpayer during the taxable year. These deductions are permitted in computing taxable income, but there is an overall limitation on certain itemized deductions. An alternative to itemizing deductions is to claim the standard deduction.
A taxpayer who was legally married as of the last day of the tax year. This status impacts their ability to file a joint tax return and affects their tax liabilities and deductions.
A basis for assessing profits where the assessment in any given fiscal year is based on the accounts that ended during the previous tax year. In the UK, the PYB was replaced by the current-year basis of assessment from 1997--98 onwards.
A tax year that is less than 12 months, usually applicable to start-up companies or businesses that are terminating.
A tax year is a period used for calculating annual income tax returns. It is commonly a calendar year but can also be a fiscal year, which is any consecutive 12-month period that does not necessarily start on January 1st.
An unmarried taxpayer is a taxpayer who is single, has obtained a final decree of divorce or separate maintenance, or a decree of annulment by the last day of the tax year. They are considered unmarried for the entire year.
