What CASH METHOD OF ACCOUNTING means: One of the two most common methods of accounting, the other of which is the accrual method defined elsewhere in this glossary. Under the cash method of accounting, income is reported in the tax year actually or constructively received and expenses are deducted in the tax year paid.
- Definition Cafeteria Plan:
- Dictionary employer offers a choice of salary or specified nontaxable fringe benefits from which participating employees may select. The plan may be funded with employer contributions, employee contributions cash method of accounting definition.
- Definition Convertible:
- Dictionary A bond or preferred stock that may, under specified conditions, be exchanged for common stock or another security, usually of the same corporation cash method of accounting explain.
- Definition Change In Accounting Period:
- Dictionary A change from one accounting period to another. Income for the short period created by the change must be annualized to calculate the tax for that period cash method of accounting what is.
- Definition Call:
- Dictionary An option to purchase a security at a fixed price within a specified period of time cash method of accounting meaning.
How works Cash Method of Accounting meaning in Tax definitions C .
