Tag Archives: AS

Asset

Asset

Asset means:
anything owned that has value; any interest in real property or personal property that can be used for payment of debts. Assets are listed on Schedule L of the corporate tax return.

See Corporate Tax in the U.S. Legal Encyclopedia and Corporate Tax in the International Legal Encyclopedia.

Description and Definition of Asset

Anything owned by an individual or a business, which has cash, commercial, or exchange value. Assets may consist of specific property or claims against others.

Resources

See Also

Further Reading

Assignment

Assignment

Assignment means:
the transfer of rights under an insurance policy to another person or business. For example, to secure a debt, it is not uncommon for the policyowner to transfer to the creditor the owner's right to borrow on the cash value of the policy. Life insurance policies are freely assignable to secure loans and notes; property and casualty insurance policies are not. Creditors such as banks often have printed assignment forms on hand at the time of making loans. The assignment or transfer of an insurance policy may cause the future insurance proceeds to be taxable income.

Description and Definition of Assignment

An assignment is the legal transfer of rights, property, or interest to another person called an assignee. You cannot avoid tax on income by assigning the income to another person.

Resources

See Also

Further Reading

Assessment

Assessment

Assessment may have one of the following meanings, depending the context of the term:

1. a bookkeeping record of a tax liability in an U.S. Internal Revenue Service (IRS) office. An act of computing the tax due. in other words, the accurate and equitable valuation and classification of property to determine its market value. Former IRC (check if this IRC provision is current here) §6201. 2. the amount of tax or special payment due to a municipality or association.

Description and Definition of Assessment

An assessment is the IRS process of fixing tax liability that starts collection procedures, such as charging interest, imposing penalties, and, if necessary, seizing property.

Resources

See Also

Further Reading

Asset Depreciation Range

Asset Depreciation Range

Asset Depreciation Range means:
a limitation on the period over which assets may be depreciated. The ADR generally applies to property purchased between 1971 and 1981, allowing depreciable lives 20% longer or shorter than the guidelines provided by the U.S. Internal Revenue Service; it also provides the maximum amounts that can be spent annually on assets and still be deductible repairs. Former IRC (check if this IRC provision is current here) §167.

Example of Asset Depreciation Range:

Learn more about tax examples, explanations and calculations here.

Farm buildings purchased before 1981 may be depreciated over 25 years or within a range of 20 to 30 years, according to the asset depreciation range. Up to 5% of the cost can be spent annually and be treated as repair, not as capital improvement.

See Depreciation in the United States Encyclopedia of Law and Depreciation in the World Encyclopedia of Law.

Assessment Roll

Assessment Roll

Assessment Roll means:
a public record of the assessed value of property in a taxing jurisdiction. The assessment roll of a town, for instance, lists each individual tract of land within its taxing jurisdiction and shows the assessed value of each.

Assignment of Income Doctrine

Assignment of Income Doctrine

Assignment of Income Doctrine means:
a taxpayer's direction that income earned by him or her be paid to another person so that it will be considered that other person's income for federal tax purposes. The owner of income-producing property will be taxed on the income earned by that property unless he or she actually transfers ownership of the property, as well as the income. Income earned for personal services is taxable to the person who performed the services.

See also other Tax Terms and Definitions in U.S.A.

apportionment and fruit and tree doctrine.