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installment contract

   Also found in: Legal 0.01 sec.
installment contract

A contract providing for payment of the purchase price to the seller over time.Installment contracts are given favorable treatment by the IRS (www.irs.gov),which allows the seller to declare gain only as the seller receives principal payments each year,rather than requiring the seller to immediately take into income the entire gross amount of the purchase price.Interest is counted as income in the year paid.



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loan, lease, or retail installment contract terms, or modifications to loan, lease, or retail installment contracts, under which a creditor agrees to cancel or suspend all or part of a customer's obligation to make payments upon the occurrence of specified events) but the purchase of such debt cancellation products may not be used as a condition for making a loan.
7) The IRS made no adjustments to ACC's installment contract expenditures for 1994.
Since 2003, Quantum Auto Group has originated and sold nearly $500 million in auto loans or retail installment contracts to various financial organizations.
 
 
 
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