Advance Payments


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Advance Payment

A payment on an obligation that is paid well in advance. For example, if one pays May's rent in April, the payment is an advance payment. Often, though not always, the advance payment results in a discount on the amount owed. It is also called a payment in advance.

Advance Payments

Advance payments are prepayments for services or goods. They generally are includible in gross income upon receipt for both accrual- and cash-basis taxpayers.
References in classic literature ?
In his pocket was precisely the room- rent for the following week, the advance payment of which was already three days overdue and clamorously demanded by the hard- faced landlady.
PESHAWAR -- On the directives of the Khyber Pakhtunkhwa Governor Sardar Mahtab Ahmed Khan a crackdown has been launched against contractors and government officers who were involved in getting fake advance payments worth millions of rupees in connection with different development schemes in the tribal areas and seven such contractors were arrested in Kurram, FR Tank and FR Dera Ismail Khan recovering millions of rupees from them.
CCP started the inquiry after receiving various complaints and concerns highlighting the issues of high prices of vehicles, hefty advance payments, delay in delivery of passenger vehicles, charging of premiums for on-spot delivery, and no facility to recall the vehicles, says a statement issued here Thursday.
It will ban advance payments of the bank's profit to the budget.
The contractor is then obligated to furnish security in the amount of services for early repayment cash advance advance payments.
The Office of Chief Counsel advised that a taxpayer was not properly using the method of accounting for advance payments in Regs.
These farmers, who were affected by the spring blizzards, were given advance payments of up to 50% in October.
These include compelling nil advance payment offers as well as a reduction in advance payments on both the Mazda3 Tamura and Venture diesels (now available from PS799) and both spacious and practical seven-seat Mazda5 Venture MPV models (now available from PS1,799) - unti September 30.
In total Volvo has 13 versions of the V40 on offer to Motability customers with advance payments rising to PS2,499 for the high grade automatic V40 D3 Cross Country SE which is fitted with a two-litre diesel developing 150bhp.
The car maker has also introduced a number of new offers under the scheme including no advance payments on some models up until the end of September.
It is available only with a manual gearbox with advance payments of PS12 for eligible drivers in receipt of military benefits and PS999 to those who qualify under the higher rate component of the Disability Living Allowance or the enhanced rate of the mobility component of Personal Independence Payment.
The Tax Court found that an IRS Criminal Investigations Division agent and his wife, a school manager, could use the deferral method to report certain advance payments relating to their private school LLC-partnership.

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