A deferred tax liability is an obligation to pay taxes in the future.
A liability arises when a company or individual delays an event that would cause it to also recognize tax expense in the current period.
For example, earning income in a qualified retirement plan such as a 401(k) is a deferred tax liability because the pension contributor will eventually have to pay taxes on retained income and profits upon exit.
Form 1095-C: Employer Health Insurance Offer and Coverage is a tax form with information about employee health insurance offered by the eligible Large Employer (ALE).
Form 706 is used by the executor of a deceased person to calculate inheritance tax owed under Chapter 11 of the Internal Revenue Code (IRC) and to calculate Generation Pass Transfer Tax (GSTT) under Chapter 13 of the IRC. .
A limited liability company (LLC) is a corporate structure that protects its owners from personal harassment for paying off debts or obligations of the company.
A limited partnership (LP) exists when two or more partners start a business together, but the limited partners are only liable up to the amount of their investment.
Substantial participation tests help determine whether a taxpayer has been materially involved in a business, lease, or other income-generating activity.