write-off

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Write-off

Charging an asset amount to expense or loss, such as through the use of depreciation and amortization of assets.

Write-Off

A reduction in an individual's or a company's income as the result of an expense. For example, an unpayable credit sale may be a write-off for the creditor, especially if the debtor declares bankruptcy. The bankruptcy means that the debtor is unable to pay the debt, which results in a loss of income for the creditor. A write-off may usually be deducted from one's taxable income.

write-off

To take an asset entirely off the books because it no longer has any value.If an accrualbasis taxpayer has taken money into income when bills were sent out to customers,but then some of the bills became uncollectible, the taxpayer may write off the uncollectible ones as a deduction against income. Financial institutions are required to write off loans when they become delinquent by a certain amount.

References in periodicals archive ?
The majority of the charge relating to these changes is the write down of goodwill and other long-lived assets.
Finally, the Corporation will write down $19 million of its venture fund investments in certain emerging technology companies that it will no longer support.
These results and write downs cause the Company to be out of compliance with several covenant provisions, including the borrowing base limitations, of its working capital line of credit, which is the Company's principal source of working capital.
Excluding year-end write offs and write downs, income after taxes amounted to $579,000 in 1996, compared with a loss after taxes of $6,400,000 in 1995.
The losses were substantially due to increased reserves for doubtful accounts, write down of good will, and other one-time write downs.
The prior write downs reflected the second quarter downsizing of the Company's Venezuelan operations and the decline in value of an investment in Tombstone Explorations Co.