Dictionary
Thesaurus
Encyclopedia
Translator
Web
Related Searches
Nearby Words

deferred income tax

 - 2 dictionary results
File Tax Returns Online
Prep, Print, E-File Fed Taxes Free. Your Guaranteed Max Refund, Fast!
www.turbotax.com
Deferred Taxation
Low Prices on Deferred taxation Free 2-Day Shipping w/ Amazon Prime
www.Amazon.com/Books
Financial Dictionary

Deferred Income Tax

A liability that results from income already earned, is recognized for accounting but not tax purposes purposes, and is recorded on the balance sheet.

Investopedia Commentary

In other words, the income has been realized, but the tax on that income hasn't.

Related Links

Introduction to Fundamental Analysis
Advanced Financial Statement Analysis
EBITDA: The Good, The Bad, And The Ugly
Five Tips for the Tax-Smart Investor

See also: Balance Sheet, Income Tax, Liability

Investopedia.com. Copyright © 1999-2005 - All rights reserved. Owned and Operated by Investopedia Inc.
Cite This Source
File Tax Returns Online
Prep, Print, E-File Fed Taxes Free. Your Guaranteed Max Refund, Fast!
www.turbotax.com
Deferred Taxation
Low Prices on Deferred taxation Free 2-Day Shipping w/ Amazon Prime
www.Amazon.com/Books
Financial Dictionary

deferred income tax

A liability created by income recognized for accounting purposes but not for tax purposes. The liability recognizes future taxes due when earned income is later reported for tax purposes. Use of accelerated depreciation for reporting to the Internal Revenue Service and straight-line depreciation for reporting to stockholders is one of the major reasons a firm includes deferred income taxes as a liability on its balance sheet.

Wall Street Words: An A to Z Guide to Investment Terms by David L. Scott.
Copyright © 2003. Published by Houghton Mifflin.
Cite This Source
Search another word or see deferred income tax on Thesaurus | Reference
FacebookTwitterFollow us:
Partner Sites:
Ask AnswersEviteExpediaHotelsHotwireLife123LiveDailyMy Way