Glossary: Form 1099-B
Form 1099-B is a reporting form, in the 1099 series, used primarily to report the sale of stocks by a taxpayer.
Glossary: OCBOA
The abbreviation “OCBOA” stands for “other comprehensive basis of accounting.” Simply stated, it means any basis of accounting — the method in which a business keeps its books — other than GAAP (generally accepted accounting principles).
Glossary: Review (Of Financial Statements)
In accounting terminology, a “review” is a type of report issued by a CPA regarding a company’s financial statements. A review is one step below an audit. In a review, the CPA examines a company’s financials to verify that they are free of deficiencies, but the firm does not review internal controls or fraud risks as in […]
Glossary: Gross Income/Gross Profit
Gross income is all money coming in the door, before any expenses. Gross profit is what’s left after cost of goods sold are subtracted.
Glossary: LPA (Licensed Public Accountant)
What is an LPA? It stands for licensed public accountant and is a rare designation that is currently only issued in 3 states: Iowa, Delaware and Minnesota.
Glossary: S-corporation
S-corporation is a tax term that refers to a corporation or an LLC that elects to be taxed under the rules of Subchapter S of the Internal Revenue Code.
Glossary: Patient-Centered Outcomes Research Fee
The Patient-Centered Outcomes Research Fee is due on July 31 of each year.
Glossary: Asset
In the tax world, an asset is generally refers to the purchase of something that will last for more than one year.
Glossary of Tax Terms: LLC
LLC stands for Limited Liability Company. The tax treatment of LLC varies.
Glossary: Net Income/Net Loss
The term net income (or net loss) refers to what’s left of a business’s gross profit after expenses are accounted for.