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A provision in a contract that allows one party to recover (recapture) some degree of possession of an asset, such as a share of the profits derived from some property.


1. An agreement between a buyer and a seller whereby the seller is allowed to repurchase the good or other asset within a certain period of time.

2. See: Depreciation Recapture.


When you recapture assets, you regain them, usually because of the provisions of a contract or legal precedent.

When a contract is involved, you may be entitled to recapture a percentage of the revenues from something you produce in addition to being paid the cost of producing it.

For example, a hotel developer might be entitled to recapture a portion of the hotel's profits. Most of the time, recapture works in your favor, but depending on the situation, it can also mean a financial loss.

A negative form of recapture occurs when the government makes you repay tax benefits that you've profited from in the past. For example, say that your divorce settlement calls for you to pay $150,000 to your ex-spouse over three years. If you pay all the money in the first two years in order to qualify for a tax deduction, and pay nothing in the third year, the IRS may force you to recapture part of your deduction in the third year and pay taxes on it.

recapture (tax)

Same as depreciation recapture.


The inclusion of a previously deducted or excluded amount in gross income or tax liability. Recapture may be applicable to accelerated depreciation, cost recovery, amortization, and various credits.
References in periodicals archive ?
The idea here is that more of the money raised locally would escape the state's recapture.
For tagging set 2, additional logistic regressions tested recapture rates between warm and cool surface temperatures (categorical variable) at the time of tagging.
Instead, the CFC must establish a Subpart F income recapture account of $10, to be recaptured in later years when the CFC's current-year E&P is positive.
Considering all recaptures of males and females over the three intervals of recaptures, 157 of 235 recaptures (66.
Assumptions relating to the standard CJS model were (1) every marked animal in the population has the same probability of recapture between trawl nights, (2) every marked animal has the same probability of surviving between trawl nights, (3) no tags are lost and tags are readable, and (4) all samples are instantaneous and each release occurs immediately after sampling
Thus, regardless of the release or study site, recapture was lower during the wet season, probably due to high frequency of rainfall during this season.
We also reported the locations and recapture distances of fish that were recaptured away from Huntington Flats during the same peak spawning season.
In the first year of Greenville Heritage Credit Union's recapture program, the credit union gained 33 new members and 46 new auto loans worth $905,790.
This repayment, or general recapture, ceases upon the death of the taxpayer (section 36(f)(4)(A)).
If there is recapture it will be in the third year.
Recapture intuition as a factor in decision-making, fostering dialogue, debate and discovery to develop meaningful scenarios, create practical action plans and identify the first signs of flawed decision-making.
In the traditional procedure called mark-recapture, researchers mark and release many individuals and later try to recapture them.