After-tax basis

After-tax basis

The comparison basis used to analyze the net after-tax returns on a corporate taxable bond and a municipal tax-free bond.

After-Tax Basis

A comparison of net yield between taxable and tax-exempt bonds, especially corporate bonds and tax-free municipal bonds. A corporate bond yields less than its stated interest rate because of taxation, whereas a tax-exempt municipal bond does not. Thus, a municipal bond paying a lower interest rate will often net the bondholder more than a corporate bond with a slightly higher interest rate, depending upon one's tax bracket. See also: Municipals-over-bonds spread.
References in periodicals archive ?
These financial results reflect certain significant items, as described on an after-tax basis in the following table of GAAP earnings reconciled to adjusted earnings for the second quarter and first six months of 2019 and 2018.
The after-tax internal rate of return is 17.473%, with the 23-year project paying back its investment on an after-tax basis at the five-year mark.
A $43M retention loss would still represent less than 6% on an after-tax basis of UVE's stockholder's equity as of March 31, 2019.
Annual return on invested capital (ROIC) pre-tax was 23.6 percent, or 18.4 percent on an after-tax basis.
You should evaluate whether you should fund your 401(k) or other company retirement plan on a pretax or after-tax basis utilizing Roth contributions.
These one-time costs reduced the reported net income for the quarter by $200 thousand, on an after-tax basis. The adjusted net income for the first quarter of 2018 (exclusive of the transaction related expenses and the lease termination expense) would equate to $1.74 million, or $.28 per share.
He explains that home prices in high-tax districts are impacted by the tax deductibility of state and local taxes because people tend to buy as much house as they can on an after-tax basis. If the after-tax affordability of a house declines because of tax changes, those home prices will fall, due to a decline in demand, and that, in turn, would impact the property tax revenues of those districts.
In the first, the government amends federal income-tax rates overall so that lower-paying, positive-spillover jobs seem more appealing on an after-tax basis. In the second, the government taxes (or subsidies) some professions more than others.
On an after-tax basis, additional items booked in fiscal 2017 included $309 million in amortization of acquisition-related intangibles, a $4 million favorable adjustment of claim and litigation reserves, and a $4 million LIFO credit.
Unlike a traditional IRA, however, contributions are made on an after-tax basis. Instead of getting a tax deduction in the current year, Roth investors can withdraw their savings in retirement 100% tax-free, and they can also take advantage of some other benefits of this account type.
'We've boosted return on equity by replacing this high-cost funding with senior notes and other sources that cost, on average, only one-third of the TARP preferred on an after-tax basis. Even after the redemption, our regulatory capital remains strong, providing the necessary resources to continue to execute on our long-term business plans.'
Second quarter 2016 results included USD6.3 million of costs related to the company's recently announced transaction with CIBC, which reduced earnings per share by USD0.05 on an after-tax basis. For the six months ended June 30, 2016, the company had net income of USD99.9 million, compared to USD87.9 million for the six months ended June 30, 2015.