Legal Dictionary of Pakistan
Quick lookup for English, Urdu, and Latin legal terms used in Pakistani jurisprudence.
Average tax rate
see tax rate.
Back taxes
taxes that, though assessed for a previous year or years, remain due and unpaid.
Board of Tax Appeals.
See TAX COURT, U.S.
Classified tax.
See TAX.
Ideclaration of estimated tax
A required IRS filing by certain individuals and businesses of current estimated tax owed, accompanied by periodic payments of that amount. 0 The requirement ensures current collection of taxes from taxpayers (such as self-employed persons) whose incomes are not fully taxed by payroll withholding. IRC (26 USCA) ยงยง 6315, 6654.
In ambiguo sermone non utrumque dicimus sed id duntaxat quod volumus.
When the language we use is ambiguous, we do not use it in a double sense, but merely in the sense that we intend.
Pretax
adj. Existing or occurring before the assessment or deduction of taxes < pretax income>.
Surtax
An additional tax imposed on something being taxed or on the primary tax itself. tonnage tax. See TONNAGE DUTY.
Tax
n. A monetary charge imposed by the government on persons, entities, or property to yield public revenue. ( Most broadly, the term embraces all governmental impositions on the person, property, privileges, occupations, and enjoyment of the people, and includes duties, imposts, and excises. Although a tax is often thought of as being pecuniary in nature, it is not necessarily payable in money. - tax, vb. "Taxes are the enforced proportional contributions from persons and property, levied by the state by virtue of its sovereignty for the support of government and for all public needs. This definition of taxes, often referred to as 'Cooley's definition,' has been quoted and indorsed, or approved, expressly or otherwise, by many different courts. While this definition of taxes characterizes them as 'contributions,' other definitions refer to them as
Tax Court, U.S
A federal court that hears appeals by taxpayers from adverse IRS decisions about tax deficiencies. ( The Tax Court was created in 1942, replacing the Board of Tax Appeals. - Abbr. T.C.
Tax audit
the review of a taxpayer's return by the irs, including an examination of the taxpayer's books, vouchers, and records supporting the return. - also termed audit of return.
Taxable
adj. 1. Subject to taxation <interest earned on a checking account is taxable income. 2. (Of legal costs or fees) assessable <expert-witness fees are not taxable court costs>.
Taxation
The imposition or assessment of a tax; the means by which the state obtains the revenue required for its activities.
Taxpayer
One who pays or is subject to a tax.
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.
United States Tax Court
See TAx COURT, U.S.
accrued tax
A tax that has been incurred but not yet paid or payable.
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.
accumulated-earnings tax
A penalty tax imposed on a corporation that has retained its earnings in an effort to avoid the incometax liability arising once the earnings are distributed to shareholders as dividends. -Also termed excess profits tax; undistributedearnings tax.
ad valorem tax.
see tax.
admission tax
A tax imposed as part of the price of being admitted to a particular event. ad valorem tax See progressive tax.See progressive tax.
alternative minimum tax
A flat tax potentially imposed on corporations and higherincome individuals to ensure that those taxpayers do not avoid all income-tax liability by using exclusions, deductions, and credits. -Abbr. AMT. - Also termed minimum tax.
amusement tax
A tax on a ticket to a concert, sporting event, or the like. ( The tax is usu. expressed as a percentage of the ticket price.
annual gift-tax exclusion
see annual exclusion under exclusion.
average tax rate
A taxpayer's tax liability divided by the amount of taxable income.
capital-gains tax
See TAX.
capital-stock tax
See TAX.
capitation tax
See poll tax.
child's income tax
See kiddie tax under TAX.
child- and dependent-care tax credit
A tax credit available to a person who is employed full-time and who maintains a household for a dependent child or a disabled spouse or dependent.
classified tax
A tax system in which different rates are assessed against different types of taxed property.
closed transaction. Tax
A transaction in which an amount realized on a sale can be established for the purpose of stating a gain or loss.
collateral-inheritance tax
A tax levied on the transfer of property by will or intestate succession to a person other than the spouse, a parent, or a descendant of the decedent.
commutation of taxes
A tax exemption resulting from a taxpayer's paying either a lump sum or a specific sum in lieu of an ad valorem tax.
conduit taxation
See pass-through taxation under TAXATION.
consumption tax
A tax imposed on sale of goods to be consumed and services.
death tax
An estate tax or inheritance tax.
deferral of taxes
The postponement of paying a tax from one year to another, as by contributing money to an IRA, for which earnings and contributions will be taxed only when the money is withdrawn.
deficiency in tax
See DEFICIENCY (2)
delinquent tax
A tax not paid when due.
delinquent tax.
See TAx.
direct tax
A tax that is imposed on property, as distinguished from a tax on a right or privilege. ( Ad valorem and property taxes are direct taxes.
documentary stamp tax
See stamp tax.
double taxation
See TAXATION.
equal and uniform taxation
A tax system in which no person or class of persons in the taxing district - whether it be a state, city, or county - is taxed at a different rate from others in the same district on the same value or thing.
equalization of taxes
See EQUALIZATION (2;
erroneous tax
1. A tax levied without statutory authority. 2. A tax on property not subject to taxation. 3. A tax levied by an officer who lacks authority to levy the tax. - Also termed illegal tax.
estate tax
A tax imposed on property transferred by will or by intestate succession. Cf. inheritance tax.
estimated tax
A tax paid quarterly by a taxpayer not subject to withholding (such as a self-employed person) based on either the previous year's tax liability or an estimate of the current year's tax liability.
excess profits tax
1. A tax levied on profits that are beyond a business's normal profits. ( This type of tax is usu. imposed only in times of national emergency (such as war) to discourage profiteering. 2. See accumulatedearnings tax.