Tax Attribute

Tax Attribute
A type of loss or tax credit that must be reduced as a result of the exclusion of debt cancellation from a taxpayer's gross income. Tax attributes are adjusted when a taxpayer declares bankruptcy.

Tax attributes include net operating losses and carryovers, general business credit carryovers, alternative minimum tax credit carryovers, capital loss and foreign tax credit carryovers.

Taxpayers who are forgiven debts as a result of bankruptcy do not have to include the forgiven debt as income, but certain tax attributes must be reduced by an amount proportionate to the amount of debt that has been forgiven.

For example, if $5,000 in debt was forgiven, then the taxpayer could elect to have the basis of his/her rental property reduced by $5,000 and defer the tax until the property is sold. If the property is sold for a gain, then $5,000 of that gain will be taxed as ordinary income.


Investment dictionary. . 2012.

Игры ⚽ Нужно решить контрольную?

Look at other dictionaries:

  • Tax attribute — The Internal Revenue Code contains a limited number of specific statutory provisions excluding from income economic benefits that would otherwise constitute gross income under the Code. IRC § 108 constitutes one such exclusion. Section 108… …   Wikipedia

  • Tax protester constitutional arguments — UStaxationTax protester constitutional arguments are assertions that the imposition of the federal income tax violates the United States Constitution. These kinds of tax protester arguments are distinguished from related statutory arguments and… …   Wikipedia

  • Oregon tax revolt — Part of a series on Taxation Taxation in the United States …   Wikipedia

  • Cancellation of Debt (COD) Income — Part of a series on Taxation Taxation in the United States …   Wikipedia

  • Relational model — The relational model for database management is a database model based on first order predicate logic, first formulated and proposed in 1969 by Edgar Codd. [ Derivability, Redundancy, and Consistency of Relations Stored in Large Data Banks , E.F …   Wikipedia

  • Christianity — /kris chee an i tee/, n., pl. Christianities. 1. the Christian religion, including the Catholic, Protestant, and Eastern Orthodox churches. 2. Christian beliefs or practices; Christian quality or character: Christianity mixed with pagan elements; …   Universalium

  • Engineering economics — Engineering economics, previously known as engineering economy, is a subset of economics for application to engineering projects. Engineers seek solutions to problems, and the economic viability of each potential solution is normally considered… …   Wikipedia

  • Bergen County, New Jersey — Infobox U.S. County county = Bergen County state = New Jersey map size = 100 founded = 1683 seat = Hackensack largest city = Hackensack area total km2 = 639 area total sq mi = 247 area land km2 = 606 area land sq mi = 234 area water km2 = 33 area …   Wikipedia

  • Judaism — /jooh dee iz euhm, day , deuh /, n. 1. the monotheistic religion of the Jews, having its ethical, ceremonial, and legal foundation in the precepts of the Old Testament and in the teachings and commentaries of the rabbis as found chiefly in the… …   Universalium

  • Fiscal drag — refers to the process where tax thresholds are either not adjusted for inflation, or fail to keep pace with earnings growth, causing in either case an automatic rise in tax revenues.Example of nominal fiscal dragSuppose a person earns $20,000 per …   Wikipedia

Share the article and excerpts

Direct link
Do a right-click on the link above
and select “Copy Link”