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Business Definition for: adjusted tax basis
adjusted tax basis
See also
adjusted basis or adjusted tax basis
adjusted tax basis
the original cost or other basis of property, reduced by depreciation deductions and increased by capital expenditures .
Example: Collins buys a lot for $100,000. She erects a retail facility for $600,000, then depreciates the improvements for tax purposes at the rate of $15,000 per year. After 3 years her adjusted tax basis is $655,000 [$100,000 + $600,000 - (3 × $15,000)].
Copyright © 2007, 2000, 1997, 1987, by Barron's Educational Series, Inc. Reprinted by arrangement with Publisher.
Copyright © 2004, 2000, 1997, 1993, 1987, 1984 by Barron's Educational Series, Inc. Reprinted by arrangement with Publisher.
Copyright © 2004, 2000, 1997, 1993, 1987, 1984 by Barron's Educational Series, Inc. Reprinted by arrangement with Publisher.
