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Allocate

On a balance sheet, to spread an expense over more than one accounting period. One of the most prominent examples of allocation is depreciation, which spreads the cost of an asset over a certain number of years.

allocate

1. To spread systematically a single monetary amount over a number of time periods, usually years. For example, depreciation allocates the cost of a capital asset over its useful life.
2. To distribute cost or revenue throughout a number of operations or products. For example, a business must decide how to allocate the costs of running its headquarters over all its operations to determine the profitability of each of those operations.
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In addition, there are also two safe-harbor methodologies the taxpayer may use for allocating state tax.
Allocation and apportionment of expenses for Sec. 199 purposes: for many taxpayers, calculation of the Sec. 199 deduction will require an enormous amount of work. This article focuses on one aspect of the deduction, the allocation and apportionment of expenses under the Sec. 861 regulations and the proposed Sec. 199 regulations
Allocating discounts to all inventory generally conforms to the best accounting practice in various trades or businesses.
Service scrutinizes inventory
This article illustrates one such technique: A detailed model for allocating tolerable misstatement is presented and other applications are suggested.
Comparison risk ranking applications: here's one method of allocating tolerable misstatement
An excellent basis for allocating postage is the incremental weight a program or fund-raising contributes to the mailings weight.
Reasonable joint cost allocations in nonprofits
First, according to the IRS, not every method of allocating plan expenses is reasonable and could result in a significant detriment.
Rev. Rul. permits allocation of expenses to former employees
Exhibit 4 at left presents a corresponding Schedule C, Part 2, allocating GST exemption to this transfer.
Navigating the revised gift tax return
This lack of conflicting interests weakens the economic reality test's usefulness in allocating a portion of the purchase price to intangible assets.
Deducting the cost of intangibles
The two methods involve allocating a GST exemption either (1) to the trust on an annual basis equal to each trust contribution or (2) against the trust's fair market value (FMV) at the time of the allocation.
"Wait and see" GST tax planning
Under these circumstances, there is no factual basis for allocating two thirds of the total amount paid to B to emotional distress; the allocation does not reflect the economic substance of the settlement, nor the realities of the underlying claim.
Employee settlements subject to employment tax.
2642(g)(1)(B), taxpayers should treat the time for allocating the GST exemption to lifetime transfers and transfers at death, the time for electing to opt out of the automatic allocation rules, and the time for electing to treat any trust as a GST trust as if not expressly prescribed by statute.
IRS issues guidance on relief from late allocation of GST exemption. (Estates, Trusts & Gifts)
752-3 currently provides a three-tiered system for allocating nonrecourse liabilities, which applies sequentially.
Prop. regs. on allocation of partnership debt

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