Cash Flow After Taxes

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Cash Flow After Taxes

In accounting, a measure of a company's cash flow after all taxes are paid. It is calculated by taking the net income and adding back in the value of all non-cash expenses, notably amortization and depreciation. Publicly-traded companies with a high cash flow after taxes are in a better position to distribute cash dividends than those with a low cash flow after taxes. In addition to this, it is also used as a measure of general performance and financial health.