Tax Liability

(redirected from Tax Liabilities)
Also found in: Dictionary, Thesaurus.

Tax liability

The amount in taxes a taxpayer to the government.

Tax Liability

The money one owes to the government in a given year. At its most basic, a tax liability is usually a certain percentage of one's income, and varies according to income. That is, one who makes $100,000 per year usually has a higher tax liability than one who makes $25,000. Different taxable events command different tax liabilities. For example, income taxes are usually higher than capital gains taxes. Certain taxable events do not occur for everyone in every year; for example, inheritance taxes only apply when someone dies. See also: Tax bracket.

Tax Liability

The amount of total tax due the IRS after any credits and before taking into account any advance payments (withholding, estimated payments, etc.) made by the taxpayer.
References in periodicals archive ?
The real challenge to the consistent determination and reporting of tax liabilities in financial statements, he concluded, lies in the application of complex and nebulous tax rules to myriad facts and circumstances.
The proposed Interpretation, which would substantially modify FAS 109, (1) provides a theoretical approach for the consistent determination and reporting of income tax liabilities, assets, and expense relating to uncertain tax positions.
b) deferred tax liabilities and assets for future tax consequences of events that have been recognized in an enterprise's financial statements or tax returns.
Fund managers also determine what types of stocks to purchase-high dividend-paying stocks to which create additional tax liabilities for fund holders, or low-dividend-paying stocks.
Its resolution will directly affect the tax liabilities of other businesses subject to California's tax system, and could indirectly affect the tax systems of other states.
The most frequent tax gaffe divorced African-Americans make is not looking at the tax liabilities that result from divorce.
the "Subsidiary") will pay certain tax liabilities that result to the Company from the transfer to Gary H.
6306(b)) with PCAs that will locate and contact taxpayers owing outstanding tax liabilities and arrange payment from them.
NEMO PERERA is a principal with Risk Capital Partners, a firm that specializes in structuring complex tax insurance policies in behalf of major corporations, thereby managing the tax liabilities associated with many corporate transactions.
The taxpayer would not be able to meet basic living expenses if his or her assets were liquidated to pay outstanding tax liabilities.
FAS 109 Paragraph 27 typically requires adjustments to deferred tax liabilities and assets for the effects of a change in tax laws or rates in the period that includes the enactment date.