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Abatement
A reduction in the assessment of tax, penalty or interest when it is determined the assessment is incorrect -
Abuse of law
The doctrine which allows the tax authorities to disregard a civil law form used by the taxpayer which has no commercial basis -
Accelerated depreciation
Method of depreciation under which taxpayers may allocate larger depreciation deductions to the first year or first few years of useful business assets, such as plant and machinery -
Accounting basis
Method of calculating amounts subject to income tax and VAT. In respect of VAT, tax would be computed as a percentage levy on the excess of sales over purchases. This is a theoretical concept and no country uses it. -
Accounting period
A period of time used by taxpayer for the determination of tax liability -
Accounting records
All documents and books used in the preparation of the tax return and all financial statements, including general ledger, subsidiary ledgers, sales slips, and invoices. -
Accounts payable
A list of the debts currently owed by a person or business, mainly for the purchase of services, inventory, and supplies -
Accounts receivable
A list of the money owed on current account to a creditor, which is kept in the normal course of the creditor's business and represents unsettled claims and transactions -
Accrual basis (accrual method)
An accounting method whereby income and expense items are included in taxable income or expense as they are earned or incurred, rather than when they are received or paid -
Administrative expenses
Expenses that are not as easily associated with a specific function as are the direct costs of manufacturing and selling. It typically includes expenses of the headquarters office and accounting expenses.
