Tax Glossary
A plain-language reference library for common tax, IRS, planning, and compliance terms. Use these entries for background, then discuss specific decisions with a CPA who can review your facts.
4
- 401(k) Contribution Limits
- 401(k) Contributions
- 403(b) Plan
- 403(b) Plans
5
- 501(c)(3) Organization
- 529 Plan Transfers for Estate Planning
1
- 1031 Exchange Rules
- 1040 Form
- 1099 Form
a
- Abatement
- Accelerated Charitable Giving Strategies
- Accelerated Depreciation
- Accelerated Depreciation
- Accelerated Depreciation for Equipment
- Accountable Plan
- Accounting Integration Features
- Accrual Method
- Accrued Expense
- Accuracy-Related Penalty
- Adjusted Gross Income (AGI)
- Adoption Credit
- Adoption Tax Credit
- Advisor Coordination
- Affordable Care Act (ACA) Penalty
- After-Tax Income
- Agricultural Cooperatives Tax Credit
- Agricultural Tax Credits
- AI-Powered Tax Software
- Allocation of Income
- Allowable Deductions
- Alternative Investments Tax Implications
- Alternative Minimum Tax (AMT)
- Alternative Minimum Tax (AMT) Mitigation
- Alternative Tax Net Operating Loss Deduction
- Amended Return
- Amortization
- Annual Gift Tax Exclusion
- Annualized Income
- Annuity Taxation
- Anti-Avoidance Rule
- Appeals Conference
- Asset Location Strategy
- Asset Valuation
- Audit
- Audit Risk Assessment Software
- Avoiding Double Taxation in International Investments
- Avoiding Excess Accumulated Earnings Tax
b
- Back Taxes
- Backdoor Roth IRA Contributions
- Backup Withholding
- Bargain Sale to Charity
- Base Erosion and Profit Shifting (BEPS)
- Base Year
- Basis (Cost Basis)
- Beneficiary Reporting
- Biodiesel Tax Credit
- Blockchain for Tax Compliance
- Bonus Depreciation Planning
- Bookkeeping
- Bunching Deductions
- Burden of Proof in Tax Cases
- Business Entity Selection for Optimal Taxation
- Business Expense Deduction Optimization
- Business Startup Expenses Deduction
- Business Succession Planning for Tax Purposes
- Business Travel Expense Deductions
- Business Use of Personal Vehicle Deduction
- Bypass Trusts
c
- C Corporation
- Capital Expenditure
- Capital Gains
- Capital Gains Tax on Property
- Capital Loss Carryover
- Capital Losses
- Carbon Tax
- Carryback
- Carryforward
- Carryforward Strategy
- Cash Method
- Catch-Up Contribution
- Catch-Up Contributions for Retirement Plans
- Charitable Contribution
- Charitable Contribution Bunching
- Charitable Contribution Substantiation
- Charitable Giving in Real Estate Development
- Charitable Giving Plan
- Charitable Lead Trust
- Charitable Lead Trusts (CLTs)
- Charitable Remainder Trust
- Charitable Remainder Trusts (CRTs)
- Child and Dependent Care Tax Credit
- Child Tax Credit
- Civil Tax Fraud
- Clean Energy Tax Incentives
- Closely Held Business
- Closing Agreement
- Cloud-Based Tax Solutions
- Collection Due Process (CDP)
- Collection Due Process Hearing
- Collection Information Statement (Form 433-A)
- Commuter Benefits Tax Treatment
- Compliance with Global Tax Reporting Standards
- Conservation Easement Deduction
- Construction Industry Equipment Depreciation
- Construction Tax Deductions
- Constructive Receipt
- Consumption Tax
- Contribution Deadlines for IRAs
- Controlled Foreign Corporation (CFC)
- Controlled Foreign Corporation (CFC) Rules
- Coordination of Tax Credits and Deductions
- Corporate Tax
- Cost Basis Reporting
- Cost Segregation
- Cost Segregation Studies
- CP2000 Notice
- Credit Shelter Trusts
- Criminal Tax Fraud
- Cross-Border Taxation
- Cross-Border Value-Added Tax (VAT)
- Cross-Border Value-Added Tax (VAT) Optimization
- Cryptocurrency Tax Reporting
- Current Liability
d
- De Minimis Safe Harbor for Tangible Property
- Decentralized Finance (DeFi) Tax Rules
- Deductible Expenses
- Deducting IRA Contributions
- Deduction of State and Local Taxes (SALT)
- Deductions for Home-Based Businesses
- Deferral of Income
- Deferred Compensation Plans
- Deferred Income
- Deferred Tax Asset
- Deferred Tax Liability
- Defined Benefit Plan
- Defined Contribution Plan
- Dependent
- Dependent Care Assistance Program (DCAP)
- Dependent Care Tax Optimization
- Depletion
- Depreciation
- Depreciation Recapture for Business Property
- Depreciation Recapture on Real Estate
- Depreciation Recapture Planning
- Digital Payment Reporting Tools
- Digital Tax Ledger
- Direct Payments for Medical and Educational Expenses
- Disallowed Expense
- Disaster Loss Deduction
- Disclaimers in Estate Planning
- Dividend Tax
- Dividends Received Deduction (DRD)
- Donor-Advised Fund
- Donor-Advised Fund (DAF)
- Double-Entry Accounting
- Double Taxation
- Double Taxation Agreement (DTA)
- Double Taxation Relief
- Dynasty Trust
- Dynasty Trusts
e
- E-Filing
- E-Filing Platforms
- E-Invoicing
- Early Withdrawal Penalties
- Early Withdrawal Penalty
- Earned Income Tax Credit (EITC)
- Earned Income Tax Credit Maximization
- Economic Hardship Exception
- Education Tax Benefits Strategy
- Education Tax Credit
- Educator Expense Deduction
- Effective Date of Tax Laws
- Effective Tax Rate
- Elderly and Disabled Credit
- Electric Vehicle Tax Credit
- Employee Stock Purchase Plan (ESPP) Tax Rules
- Employer Identification Number (EIN)
- Employer Matching Contributions Tax Treatment
- Employer-Provided Education Assistance
- Employer-Sponsored Benefits Tax Optimization
- Energy Efficient Home Credit
- Energy Storage Tax Credit
- Entertainment Industry Tax Rules
- Entity Restructuring for Tax Efficiency
- Entity Selection for Tax Purposes
- Entity Structure Review
- Environmental Tax
- Estate Freeze
- Estate Freeze
- Estate Freeze Techniques
- Estate Income Tax Returns (Form 1041)
- Estate Planning for Multinational Families
- Estate Planning for Non-Citizens
- Estate Tax
- Estate Tax Deduction for Funeral Expenses
- Estate Tax Installment Payments
- Estate Tax Valuation Discounts
- Estimated Payments
- Estimated Tax Safe Harbor
- Estimated Taxes
- Excess Business Loss Limitation
- Excess Contributions Carryover
- Excess Tax Benefit
- Excise Tax
- Exempt Income
- Exempt Organization
- Expatriation Tax
- Expense Recognition
- Export Incentives and Tax Optimization
f
- Failure-to-File Penalty
- Failure-to-Pay Penalty
- Fair Market Value (FMV)
- Fair Market Value of Donated Property
- Family Limited Partnership (FLP)
- Family Limited Partnerships (FLPs)
- Federal Estate Tax Exemption
- Federal Historic Preservation Tax Credit
- Federal Income Tax
- Federal Insurance Contributions Act (FICA)
- Federal Tax Court
- Filing Deadline
- Filing Extension
- Filing Status
- Film Production Tax Incentives
- Fiscal Cliff
- Fiscal Year
- Fishing Industry Tax Incentives
- Flat Tax
- Flexible Spending Account (FSA)
- Flexible Spending Arrangements (FSA)
- Foreign Account Tax Compliance Act (FATCA)
- Foreign Bank Account Report (FBAR)
- Foreign Earned Income Exclusion
- Foreign Earned Income Exclusion (FEIE)
- Foreign Earned Income Exclusion (FEIE)
- Foreign Investment Tax Reporting
- Foreign Tax Credit
- Foreign Tax Deduction
- Foreign Tax Identification Number (FTIN)
- Foreign Taxpayer Identification Number (FTIN)
- Foreign Withholding Tax
- Form 720
- Form 941
- Form 1095-A
- Form 1098
- Form 4562
- Form 5500
- Form 8829
- Form 8889
- Form 8962
- Form 9465
- Form SS-4
- Fringe Benefit Tax Strategies
- Fringe Benefit Taxation
- Frivolous Tax Submission Penalty
g
- Gaming Industry Tax Regulations
- General Anti-Avoidance Rule (GAAR)
- Generation-Skipping Transfer Tax (GSTT)
- Generation-Skipping Transfer Tax (GSTT)
- Gift Splitting
- Gift Splitting Between Spouses
- Gift Tax
- Gifting Appreciated Assets
- Gifting Stock for Tax Savings
- Gifts of Appreciated Stock
- Global Intangible Low-Taxed Income (GILTI)
- Global Minimum Tax
- Grantor Retained Annuity Trust (GRAT)
- Grantor Retained Annuity Trusts (GRATs)
- Grantor Trust Rules for Estate Planning
- Green Building Tax Deductions
- Gross Income
- Gross Receipts
- Group-Term Life Insurance Tax Benefits
- GSTT Exemptions and Allocations
h
- Hardship Waiver
- Head of Household
- Health Coverage Tax Credit (HCTC)
- Health Reimbursement Arrangement (HRA)
- Health Savings Account (HSA) Contributions
- Health Savings Account (HSA) Contributions
- Health Savings Account (HSA) in Retirement
- Healthcare Facility Tax Exemptions
- Healthcare Provider Taxation
- Hedging Transactions and Taxes
- High-Income Earner Tax Strategies
- High Net Worth Individual (HNWI)
- Hobby Loss Rule
- Home Office Deduction
- Home Office Safe Harbor Rule
- Home Sale Exclusion
- Hospitality Industry Taxation
i
- Identity Verification Letter
- In-Kind Distribution of Estate Assets
- In-Kind Donations
- Inbound Tax Rules
- Inclusion of Life Insurance Proceeds in Estates
- Income Allocation Techniques
- Income Averaging Techniques
- Income Shifting
- Income Tax
- Income Tax Planning for Artists and Creatives
- Individual Taxpayer
- Inheritance Tax
- Injured Spouse Allocation
- Innocent Spouse Protection
- Innocent Spouse Relief
- Innocent Spouse Relief Litigation
- Installment Agreement
- Installment Agreement Request
- Installment Sales
- Installment Sales
- Intangible Assets
- Intelligent Tax Assistant
- Interest on Underpayments
- Internal Revenue Service (IRS)
- International Tax Compliance
- International Tax Optimization
- International Tax Treaties and Benefits
- Inventory Valuation
- Investment Property Depreciation
- Investment Tax Credit (ITC)
- Irrevocable Life Insurance Trust (ILIT)
- Irrevocable Life Insurance Trusts (ILITs)
- IRS Appeals Division
- IRS Audit Notice
- IRS Examination
- IRS Form 2848 (Power of Attorney)
- IRS Free File Program
- IRS Notice of Deficiency
- IRS Penalties
- IRS Revenue Ruling
- IRS Taxpayer Assistance Order
- IRS Wage Garnishment Letter
- Itemized Deductions
j
- Jeopardy Assessment
- Joint Filers
k
- K-1 Form
l
- Land Improvement Depreciation
- Leveraging Tax Credits for Hiring
- Leveraging Tax Havens Legally
- Life Expectancy Tables for RMDs
- Lifetime Gift Strategies
- Lifetime Learning Credit
- Lifetime Learning Tax Credits
- Like-Kind Exchange
- Limited Liability Company (LLC)
- Litigation Costs Deduction
- Long-Term Capital Gains
- Loss Harvesting
- Low-Emission Vehicle Tax Benefits
- Low-Income Housing Tax Credit
- Lump-Sum Pension Payout Taxation
- Luxury Tax
m
- Machine Learning in Tax Audits
- Managing Estimated Tax Payments
- Managing Taxable Social Security Benefits
- Manufacturing Tax Incentives
- Marginal Tax Rate
- Marginal Tax Rate Management
- Marital Deduction
- Marital Deduction for Estate Tax
- Maximizing Retirement Plan Contributions
- Medical Expense Deduction
- Medical Expense Deduction Planning
- Mid-Quarter Convention
- Mileage Log
- Mining Operations Tax Compliance
- Mobile Tax Apps
- Mortgage Insurance Premium Deduction
- Mortgage Interest Deduction
- Mortgage Interest Deduction Optimization
- Multistate Tax Optimization
n
- Navigating Tax Implications of Stock Options Abroad
- Negligence Penalty
- Net Income
- Net Investment Income Tax (NIIT)
- Net Operating Loss (NOL)
- Net Operating Loss (NOL) Carryforward
- Net Operating Loss (NOL) Utilization
- Non-Deductible Expense
- Non-Deductible IRA Contributions
- Non-Qualified Annuities
- Non-Taxable Income
- Nonprofit Hospital Tax Reporting
- Nonprofit Organization Tax Exemptions
- Nonresident Alien
- Notice of Federal Tax Lien (NFTL)
o
- Offer in Compromise
- Offer in Compromise Decision
- Oil and Gas Tax Preferences
- Optimization of Employee Stock Purchase Plans
- Out-of-Pocket Expenses for Charity
- Outbound Taxation
- Overpayment
- Owner Compensation
p
- Partnerships
- Pass-Through Entities
- Passive Activity Loss (PAL)
- Passive Income
- Passive Income from REITs
- Passive Income Tax Reduction Strategies
- Passive Loss Limitation Strategy
- Passive Real Estate Losses
- Payroll Tax
- Payroll Tax Deferral Strategies
- Payroll Tax Software
- Penalty Abatement
- Penalty-Free Withdrawals for First-Time Homebuyers
- Penalty Waiver Request
- Pension Plan Contributions
- Pension Plan Taxation
- Permanent Establishment
- Permanent Establishment Rules
- Perpetual Trusts
- Personal Exemption Strategies
- Planning for Deferred Compensation Plans
- Planning for Digital Assets in Estates
- Portability of Estate Tax Exemption
- Portability of Estate Tax Exemption
- Pre-Tax Income
- Precedential Tax Rulings
- Predictive Tax Analytics
- Private Client Tax Planning
- Private Operating Foundation
- Pro Rata Allocation
- Professional Services Tax Compliance
- Profit and Loss Statement (P&L)
- Progressive Tax
- Property Tax
- Property Tax Deduction
- Property Tax Deduction Planning
- Property Valuation for Tax Purposes
- Provisional Income
- Public Charity Status
q
- Qualified Business Income (QBI)
- Qualified Business Income (QBI) Deduction
- Qualified Charitable Distribution
- Qualified Charitable Distribution (QCD)
- Qualified Charitable Distributions (QCDs)
- Qualified Dividend
- Qualified Dividends
- Qualified Domestic Relations Orders (QDROs)
- Qualified Longevity Annuity Contracts (QLACs)
- Qualified Opportunity Fund (QOF) Investment
- Qualified Opportunity Zone
- Qualified Personal Residence Trust (QPRT)
- Qualified Personal Residence Trusts (QPRTs)
- Qualified Retirement Plan
- Qualified Small Business Stock (QSBS) Exclusion
- Qualified Terminable Interest Property (QTIP) Trusts
- Qualified Transportation Fringe Benefits
r
- Real Estate Investment Trusts (REITs)
- Real-Time Tax Calculators
- Realized Gain
- Realized vs. Unrealized Gains
- Recapture
- Reconciliation
- Recycling Equipment Tax Deduction
- Refund
- Regressive Tax
- Renewable Energy Investment Tax Credit
- Renewable Energy Tax Credits
- Rental Income Taxation
- Reporting Foreign Earned Income
- Reporting Side Hustle Income Effectively
- Required Minimum Distribution (RMD)
- Required Minimum Distributions (RMDs)
- Research and Development (R&D) Tax Credit
- Research and Development (R&D) Tax Credits
- Research and Development Tax Credit
- Residential Energy Efficient Property Credit
- Residential Energy Tax Credit
- Residential Solar Energy Tax Credit
- Restaurant Revitalization Tax Benefits
- Retail Business Tax Compliance
- Retail Sales Tax Simplification Programs
- Retained Earnings
- Retirement Account Rollovers
- Retirement Income Deferral
- Retirement Income Splitting Strategies
- Retirement Plan Distributions for Charitable Giving
- Retirement Savings Contribution Credit
- Return Preparation
- Return Preparer Fraud
- Right to a Fair and Just Tax System
- Right to Appeal
- Right to Challenge the IRS’s Position
- Right to Finality
- Right to Pay No More than the Correct Amount of Tax
- Right to Privacy
- Right to Retain Representation
- Rollovers from Employer-Sponsored Plans
- Roth 401(k) Plans
- Roth IRA Contribution Limits
- Roth IRA Conversion
- Roth IRA Conversion Strategies
- Roth IRA Conversion Timing
- Roth IRA Five-Year Rule
s
- Sale-Leaseback Agreements
- Sales Tax
- Sales Tax Nexus Planning for E-Commerce
- Saver’s Credit
- Saver's Credit
- Saver's Credit for Retirement Contributions
- Schedule A
- Schedule C
- Schedule D
- Schedule SE
- Section 179 Expensing
- Section 179 Expensing
- Section 199A Deduction
- Section 199A Qualified Business Income Deduction
- Section 1202 Stock Gains Exclusion
- Section 1250 Property
- Self-Employed Health Insurance Deduction
- Self-Employment Tax
- Short Selling and Taxes
- Short-Term Capital Gains
- SIMPLE IRA
- SIMPLE IRA Plans
- Simplified Employee Pension (SEP) IRA
- Simplified Employee Pension (SEP) IRA
- Simplified Employee Pension (SEP) Plans
- Sin Tax
- Small Business Expensing (Section 179)
- Small Business Health Care Tax Credit
- Small Business Health Insurance Tax Credit
- Small Business Retirement Plans
- Small Business Tax Software Integration
- Smart Contracts and Taxation
- Social Security Benefit Taxation Reduction
- Social Security Income Taxation
- Social Security Tax
- Sole Proprietor
- Solo 401(k) Plans
- Special Needs Trusts
- Special Use Valuation for Farmland
- Split-Interest Gifts
- Spousal Lifetime Access Trust (SLAT)
- Spousal Lifetime Access Trusts (SLATs)
- Standard Deduction
- Standard Deduction vs. Itemization Analysis
- Start-Up Expense Deduction Planning
- State Income Tax
- State Inheritance Taxes
- State Tax Credits for Manufacturing
- Statute of Limitations for Tax Collection
- Statute of Limitations on Tax
- Step-Up in Basis
- Step-Up in Basis at Death
- Step-Up in Basis for Inherited Assets
- Strategic Lease vs. Purchase Decisions
- Strategic Timing of Income and Expenses
- Strategies for Avoiding Alternative Minimum Tax (AMT)
- Strategies for Managing Tax Residency
- Stretch IRA Strategies
- Structuring Royalties for Tax Efficiency
- Student Loan Interest Deduction
- Student Loan Interest Deduction Planning
- Subchapter S Corporation (S Corp)
- Substantial Understatement Penalty
- Substantiation
- Substitute for Return (SFR)
- Summons Enforcement Proceedings
- Sustainable Agriculture Tax Deductions
t
- Tangible Property Regulations
- Tariff
- Tax Advisor
- Tax Automation Platforms
- Tax Avoidance
- Tax Basis in Real Estate
- Tax Benefits for Healthcare Professionals
- Tax Benefits for Renewable Energy Producers
- Tax Benefits for Renewable Energy Projects
- Tax Bracket
- Tax Bracket Optimization
- Tax Calculation Software
- Tax Code
- Tax Compliance
- Tax Compliance in E-Commerce
- Tax Consultant
- Tax Coordination
- Tax Court Petition
- Tax Credits for Low-Income Housing Development
- Tax Deduction
- Tax Deduction Limits on Charitable Gifts
- Tax Deductions for Professional Athletes
- Tax Deductions for Scientific Research
- Tax Deferral
- Tax-Deferred Account
- Tax-Deferred Retirement Accounts
- Tax Diversification
- Tax Document Scanning Tools
- Tax-Efficient Charitable Remainder Unitrusts
- Tax-Efficient Retirement Withdrawals
- Tax-Efficient Stock Option Exercise
- Tax-Efficient Withdrawal Strategies
- Tax Equalization
- Tax Evasion
- Tax-Exempt Bond Investments
- Tax-Exempt Bonds
- Tax-Exempt Interest
- Tax Exemption
- Tax Filing
- Tax Filing APIs
- Tax Fraud Prosecution
- Tax-Free Exchange (1031 Exchange)
- Tax-Free Wealth Transfers
- Tax Harvesting
- Tax Implications of Estate Liquidation
- Tax Implications of Estate Settlements
- Tax Incentives for Export Businesses
- Tax Information Exchange Agreement (TIEA)
- Tax Levy
- Tax Levy Appeal
- Tax Liability
- Tax Lien
- Tax Lien Removal
- Tax Planning
- Tax Planning for Cryptocurrency Mining Operations
- Tax-Preferred Account Contributions
- Tax Preparation
- Tax Preparation Software Features
- Tax Refund Offset
- Tax Resolution
- Tax Return
- Tax Settlement
- Tax Shelter
- Tax Sheltered Account
- Tax Software
- Tax Strategies for Independent Contractors
- Tax Transcript
- Tax Treaty
- Tax Year
- Taxable Event
- Taxable Income
- Taxable vs. Non-Taxable Retirement Income
- Taxation of Cryptocurrency Gains
- Taxation of Foreign Estates
- Taxation of Freelancers and Gig Workers
- Taxation of Inherited Retirement Accounts
- Taxation of Jointly Owned Property
- Taxation of Military Retirement Pay
- Taxation of Mutual Fund Distributions
- Taxation of Professional Athletes
- Taxation of Revocable Living Trusts
- Taxation of Wellness Program Benefits
- Taxation Without Representation
- Taxpayer Advocate Service (TAS)
- Taxpayer Bill of Rights
- Taxpayer Compliance Measurement Program
- Taxpayer Delinquency Investigation
- Taxpayer Identification Number (TIN)
- Technology Company Tax Incentives
- Technology Startups Tax Incentives
- Territorial Tax System
- Texas Franchise Tax
- Timing of Real Estate Transactions
- Timing of Self-Employment Income
- Timing of Tax Payments
- Traditional IRA Contribution Deductions
- Transfer Pricing
- Transfer Pricing Adjustment
- Transfer Pricing Guidelines
- Transfer Pricing Optimization
- Transportation Industry Per Diem Rates
- Transportation Industry Tax Deductions
- Treaty-Based Exemptions
- Treaty-Based Return Position Disclosure
- Trust Beneficiary
- Trust Fund Recovery Penalty
- Trust Income Tax Return
- Trust Planning for Tax Minimization
- Trust Protector
- Trustee Responsibilities and Taxation
- Tuition and Fees Deduction
u
- U.S. Treasury
- Underpayment Penalty
- Unemployment Compensation
- Unfiled Taxes
- Unified Credit
- Unified Tax Credit
- Unrecaptured Section 1250 Gain
- Unrelated Business Taxable Income (UBTI)
- Use of Crummey Powers in Trusts
- Use of Promissory Notes in Estate Planning
- Use of Tax-Advantaged Accounts
- Use Tax
- Utilities Tax Deductions
v
- Vacation Home Tax Rules
- Valuation Discounts
- Valuation of Closely Held Businesses in Estates
- Value-Added Tax (VAT)
- Virtual Currency Taxation
- Voluntary Disclosure
- Volunteer Mileage Deduction
w
- W-2 Employee
- W-2 Form
- W-4 Form
- Wash Sale Rule
- Water Conservation Tax Benefits
- Wealth Tax
- Wealth Transfer Tax
- Willful Failure to Pay
- Wind Energy Tax Incentives
- Withdrawals for Medical Expenses
- Withholding Adjustment for Accurate Payments
- Withholding Agent
- Withholding Tax
- Withholding Tax on Foreign Payments
- Work Opportunity Tax Credit (WOTC)
- Worldwide Tax System
- Write-Off
y
- Year-End Tax Planning Checklist
- Yield Optimization for Tax Purposes
z
- Zero Capital Gains Tax Harvesting