Federal Tax Law

Double Taxation
Double Taxation refers to the process under federal tax law where earnings are taxed at the corporate level and then taxed again as dividends of stockholders.
Internal Revenue Code (IRC)
The Internal Revenue Code (IRC) is the comprehensive set of laws enacted by the United States Congress and enforced by the Internal Revenue Service (IRS) that defines the rules and regulations governing federal taxation.
Internal Revenue Service (IRS)
The Internal Revenue Service (IRS) is the revenue service of the United States federal government responsible for collecting taxes and the administration of the Internal Revenue Code, the main body of federal statutory tax law.
Self-Employment Contributions Act (SECA)
The Self-Employment Contributions Act (SECA) is a federal law in the United States that imposes a tax on the income of self-employed individuals for the purposes of funding Social Security and Medicare programs.
Tax Preference Item
A tax preference item refers to a specific item of income, tax deduction, or tax credit that is considered to provide an extra benefit under federal tax law. These items are identified as potentially leading to excessively low tax liability for some taxpayers, which is why the Alternative Minimum Tax (AMT) is imposed to ensure a minimum tax is paid.

Accounting Terms Lexicon

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