After-Tax Value

After-Tax Value

The value of an asset after any applicable taxes on it are paid. For example, if one sells a house for $100,000 but owes $25,000 in taxes from the sale, the after-tax value of the house is only $75,000. This remains the after-tax value whether or not one actually sells the house, which is what differentiates it from the after-tax return. See also: Net Salvage Value.
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Couples need to consider the future, after-tax value of assets during their negotiations, Longo says.
"We believe that this joint venture is a great opportunity to ensure the future success of Pfizer Consumer Healthcare while unlocking meaningful after-tax value for Pfizer shareholders.
In Berlinetta's earliest solicitations to Slone Broadcasting, Berlinetta marketed its ability to pay the shareholders a premium by using "proprietary" methods to "resolve liabilities at the corporate level." That Berlinetta provided little information regarding how it would resolve these liabilities, coupled with payment to the shareholders in an amount greater than the company's after-tax value, served as signals of the fraudulent nature of the transaction.
"Based on our strategic review, we concluded that after-tax value for Lilly shareholders would be maximized by pursuing an initial public offering of Elanco," said David A.
Only following this thorough analysis can Newell prudently determine which assets may realize the greatest after-tax value, and decide which assets, if any, the Company should continue to operate.In addition to asset sales, we are of the belief that there is an opportunity to significantly improve the operations at Newell.
Stockholders of the The Advisory Board would receive estimated cash per share of USD 54.29, which includes a fixed amount of USD 52.65 per share and the after-tax value at closing of the company's 7.6% stake in Evolent Health, Inc., which has been estimated as of 28 August.
Recipients are required to repay 100% of the after-tax value of thisretention bonus if theiremployment terminates before the second anniversary of the effective date.
By allowing this exchange, the IRS permitted the beneficiary to exchange the entire pre-tax value of the inherited annuity, rather than requiring that she take a lump sum distribution of the inherited annuity interest, pay taxes on this distribution and then purchase the replacement annuity contract with the after-tax value.
The revised project more than doubles the IRR and retains the same after-tax value as the 2012 study, while substantially reducing overall capital costs.
Assuming a zero cost basis for this hypothetical example, the IRA investment could have an after-tax value of an estimated $600,000 while the stock investment in a taxable account could be worth as much as $800,000 --a $200,000 difference.
Julie's money will be taxed upon withdrawal at her ordinary income rate, but we have adjusted her account balance in the table above to show the after-tax value, assuming an overall tax rate of 35%.
Because of uncertainty regarding the future taxation of dividends, Fox Chase Bancorp's board of directors has accelerated the timing of the dividend for the first quarter of 2013 into the fourth quarter of 2012 to maximize the after-tax value to its shareholders.