Tag: TERM

23C Date The date an assessment is posted to the Master File. It is also the date the first master file notice is sent on a balance due account. Commonly referred to as the notice date or assessment date.

Acronyms – TERM IRS A current listing of abbreviations/acronyms can now be found on the MITS web site. The abbreviations/acronyms below only refer to the data and text in this document. For command codes, refer to http://bbs.is.irs.gov Acronyms Definition 23C Assessment Date; Master File Notice Date A/R Accounts Receivable AAC Automated Accounting System also AIMS… Continue reading Acronyms – TERM IRS

Withholding (“pay-as-you-earn” taxation) Money, for example, that employers withhold from employees paychecks. This money is deposited for the government. (It will be credited against the employees’ tax liability when they file their returns.) Employers withhold money for federal income taxes, Social Security taxes and state and local income taxes in some states and localities.

Wages Compensation received by employees for services performed. Usually, wages are computed by multiplying an hourly pay rate by the number of hours worked.

Volunteer Income Tax Assistance (VITA) This provides free income tax return preparation for certain taxpayers. The VITA program assists taxpayers who have limited or moderate incomes, have limited English skills, or are elderly or disabled. Many VITA sites offer electronic preparation and transmission of income tax returns.

Voluntary Compliance A system of compliance that relies on individual citizens to report their income freely and voluntarily, calculate their tax liability correctly, and file a tax return on time.

Vertical Equity The concept that people in different income groups should pay different rates of taxes or different percentages of their incomes as taxes. “Unequals should be taxed unequally.”

User Tax A tax that is paid directly by the consumer of a good, product, or service.

User Fees An excise tax, often in the form of a license or supplemental charge, levied to fund a public servic

Underground Economy Money-making activities that people don’t report to the government, including both illegal and legal activities.