Abandonment -
The act of voluntarily and permanently giving up possession and use of property with the intention of ending ownership without transferring ownership to another person.
Abode -
The taxpayer's home, habitation, residence, domicile, or place of dwelling.
Academic Period -
A semester, trimester, quarter, or other period of study (such as a summer school session) as reasonably determined by an educational institution.
Accelerated Cost Recovery System (ACRS) -
The name given to tax rules relating to recovering, through depreciation deductions, the cost of property used in a trade or business to produce income. ACRS applies to property first used before 1987.
Accelerated Death Benefits -
Any amounts paid under a life insurance contract, prior to death, for an individual who is terminally or chronically ill.
Accountable Plan -
A reimbursement or allowance arrangement that requires an employee to account to their employer for their business expenses within a reasonable time.
Accounting Method -
The way a taxpayer accounts for income and expenses.
Active Conduct of Trade or Business -
Generally, to participate meaningfully in the management or operations of a trade or business.
Active Participation -
Participation in a rental real estate activity in which the taxpayer owns at least 10% of the rental property and makes significant and bona fide management decisions, such as approving new tenants, deciding on rental terms, and approving expenditures.