Legal Dictionary of Pakistan
Quick lookup for English, Urdu, and Latin legal terms used in Pakistani jurisprudence.
Assignment of income
see assignment of wages under assignment (2).
Employee Retirement Income Security Act
A federal statute that regulates private pension plans and employee benefit plans and that established the Pension Benefit Guaranty Corporation. 29 USCA §§ 1001 et seq. - Abbr. ERISA.
Income
The money or other form of payment that one receives, usu. periodically, from employment, business, investments, royalties, gifts, and the like. See EARNINGS. Cf. PROFIT.
Income beneficiary.
A person entitled to income from property; esp., a person entitled to receive trust income.
Uniform Division of Income for Tax Purposes Act
A uniform law, adopted by some states, that provides criteria to assist in assigning the total taxable income of a multistate corporation among the various states. - Abbr. UDITPA.
Uniform Principal and Income Act
A uniform code adopted by some states governing allocation of principal and income in trusts and estates.
accrued income
Money earned but not yet received.
accrued income.
See INCOME.
accumulated income
Income that is retained in an account; esp., income that a trust has generated, but that has not yet been reinvested or distributed by the trustee.
accumulated taxable income
The income of a corporation as adjusted for certain items (such as excess charitable contributions), less the dividends-paid deduction and the accumulated-earnings credit. ( It serves as the base upon which the accumulated-earnings tax is imposed. See accumulated-earnings tax under TAX.
active income
1. Wages; salary. 2. Income from a trade or business.
active income.
See INCOME.
adjusted gross income
Gross income minus allowable deductions specified in the tax code. - Abbr. AGI.
adjusted gross income.
See INCOME.
adjusted ordinary gross income
A corporation's gross income less capital gains and certain expenses. ( The IRS uses this calculation to determine whether a corporation is a personal holding company. If 60% or more of a corporation's AOGI consists of certain passive investment income, the company has met the test for personal-holding-company classification. IRC (26 USCA) § 543(b). - Abbr. AOGI. See personal holding company under COMPANY.
adjusted ordinary gross income.
See INCOME.
aggregate income
The combined income of a husband and wife who file a joint tax return.
aggregate income.
see income
blocked income
Money earned by a foreign taxpayer but not subject to U.S. taxation because the foreign country prohibits changing the income into dollars.
blocked income.
See INCOME.
child's income tax
See kiddie tax under TAX.
clear-reflection-of-income standard
Tax. An income-accounting method that the IRS can force on a taxpayer if the method used does not clearly reflect income. IRC § 446(b).
current income
See INCOME.
current income.
Income that is due within the present accounting period. - Also termed current revenue.
deferred income
See INCOME, deferred-interest bond. See BOND (3)
disposable income
Income that may be spent or invested after payment of taxes and other primary obligations. - Also termed disposable earnings.
distributable net income
The amount of distributions from estates and trusts that the beneficiaries will have to include in income.
dividend income
See INCOME.
earned income
Money derived from one's own labor or active participation; earnings from services. Cf. unearned income (2).
earned-income credit
See TAX CREDIT
exempt income
See INCOME.
exempt income.
Income that is not subject to income tax.
family-income insurance
See INSURANCE.
faxed income
Money received at a constant rate, such as a payment from a pension or
fixed income
See INCOME.
fixed-income investment
See INVESTMENT.
fixed-income security
A security that pays a fixed rate of return, such as a bond with a fixed interest rate or a preferred stock with a fixed dividend.
foreign-earned-income exclusion
The Internal Revenue Code provision that excludes from taxation a limited amount of income earned by nonresident taxpayers outside the United States. ( The taxpayer must elect between this exclusion and the foreign tax credit. IRC (26 USCA) § 911(a), (b). See foreign tax credit under TAX CREDIT.
gross income
Total income from all sources before deductions, exemptions, or other tax reductions. - Also termed gross earnings.
gross income.
See INCOME.
gross-income multiplier.
See GROSS-RENT MULTIPLIER.
gross-income tax
A tax on gross receipts rather than on net profits; an income tax without allowance for expenses or deductions. - Also termed gross-receipts tax.
gross-income tax.
See TAX.
imputed income
See INCOME.
imputed income.
The benefit one receives from the use of one's own property, the performance of one's services, or the consumption of self-produced goods and services.
income approach
A method of appraising real property based on capitalization of the income that the property is expected to generate. Cf. MARKET APPROACH; COST APPROACH.
income averaging
Tax. A method of computing tax by averaging a person's current income with that of preceding years.
income beneficiary
See BENEFICIARY.
income bond
A corporate bond secured by the corporation's net income, after the payment of interest on senior debt. ( Sometimes this type of bond is a cumulative-income bond, in which case, if the income in any year is insufficient to pay the full interest, the deficit is carried forward as a lien on any future income.
income exclusion
See EXCLUSION.