After-Tax Value

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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.
References in periodicals archive ?
Treasury Vanguard 500 Index Total Income $38,300 $26,519 Pretax Value on $100,000 $161,886 Principal 12/31/12 Tax on Income Component ($13,405) ($3,978) Embedded Tax on Principal ($0) ($9,283) Value Aftertax Value $124,895 $175,144 Note: Interest and dividends not reinvested EXHIBIT 2 5-Year U.
We developed a similar worksheet to calculate the aftertax value for 1999 IRA conversions since these allow for no amortization of taxes.
A CPA can provide insights on unique state laws that will increase the aftertax value of a client's IRA.
98, page 59) to calculate net aftertax values for 1998 Roth IRA conversions and for values of traditional IRAs for money kept on account for 15 years at 8% interest.