Investor Glossary-taxable eventInvestor Glossary-taxable eventInvestor Glossary-taxable eventInvestor Glossary-taxable eventInsightful stock market charts - Click here
Categories    # A B C D E F G H I J K L M N O P Q R S T U V W X Y Z

Taxable Event

The HTML to link to this page

A taxable event is any transaction or occurrence that results in taxes due. All taxpayers, including individuals and corporations, experience taxable events. The most common taxable event is the payment and receipt of wages. Other taxable event transactions include the receipt of taxable interest and/or dividends and money withdrawals from an IRA. The sale of investments for profit is a taxable event as well.
When engaged in tax planning, considering the timing of various taxable events can result in different tax liabilities. Wages, interest earned, and dividends received normally represent a fixed taxable event. However, sales of investments and, in some cases, bonuses received can each be a timed or variable taxable event. In fact, properly timing the execution of such variable taxable events can reduce a taxpayer's tax liability. For example, selling a stock as either a short-term or long-term investment can result in different tax obligations. Also, placing a taxable event in one year versus another might offer a tax benefit.

Rate this taxable event definition...

Learn about investing with the Investor Glossary Term of the Day

Click here for insightful stock market charts. Where is the market headed? The answer may surprise you. Find out
with the exclusive & Barron's recommended charts of Chart of the Day.

Popular Terms: required rate of return, ex-dividend date, Key Rate Duration, FICO score, VIX, deferred revenue, class C shares, in escrow, wholly-owned subsidiary, reverse mortgage, minority interest, option premium, risk management, LIBOR, irrevocable trust, average price per share, 144a, implied volatility, margin rate, annual return, current ratio, dividends payable, Zero Cost Collar, real GDP, limit order, EBITDA, open position, stock market close, cancelled check, retained earnings, debt service coverage, deferred tax, phantom income, command economy, APR, ex-dividend, FTSE, per diem, 1031 exchange, labor relations, inflation, stock split, covered put, 401a, diluted share, liquidity ratio, balance sheet, 1035 exchange, quality assurance

Accounting | Banking | Bonds | Brokers | Economy | Futures | Mutual Funds | Options | Real Estate | Retirement | Stocks | Taxes | Technical Analysis
Investor Glossary | Term of the Day | Suggest a Term | Chart of the Day | Dogs of the Dow
©2004-2016 Investor Glossary - All rights reserved - Terms of Use