Vocabulary Flashcards
Goodwill
Reputation and other unidentifiable intangible assets of a company 
Holding period
Period of time during which property has been held for income tax purposes
Realized gain
Amount realize exceeds the properties adjusted basis
Realize loss
Property adjusted basis exceeds the amount realize
Adjusters basis
The cost or other pieces of property reduced by depreciation. Can be increased by capital improvements. 
Recognize gain
Subject to income tax station. Included on taxpayers, gross income.
Recognize loss
Subject to income tax station deductible for tax purposes
Wash sale
A loss from the sale of stock that is disallowed because the taxpayer within 30 days before or after a sale, has acquired stock or securities subsequently identical to those sold
Amortization
The tax deduction for the cost or other basis of intangible assets over the assets estimate useful life
Start up expenditures
Expenditures paid or occurred prior to the beginning of the business that would happen to adoptable as an ordinary and necessary business expense of business operations had begun
Class one
Cash
Class two
Actively traded personal property.(stocks, bonds)
Class three
Debt instrument( accounts receivable)
Class four
Inventory
Class five
Catchall, which includes any asset, not in any other class. Include PP&E
