Legal Dictionary
Main Entry:
tax benefit ruleFunction:
noun : a tax rule requiring that if an amount (as of a loss) used as a deduction in a prior taxable year is recovered in a later year it must be included in the gross income for the later year to the extent of the original deduction
NOTE: If the amount of the loss was not taken as a deduction in the year the loss occurred, the recovered amount is not counted as income.
