After-tax income, also known as after-tax cash flow, represents the amount of earnings that remain after deductions for income taxes. It is a crucial indicator of an individual's or business's actual financial situation and their ability to invest, save, or spend.
A capital loss occurs when an investor sells a capital asset at a price lower than its purchase price. The capital loss is the difference between the selling price and the purchase price of the asset.
A federal tax lien is a legal claim by the government against a property when the owner fails to pay federal taxes. This debt attachment ensures the government has first priority on any proceeds from the sale of the property.
A property tax deduction allows homeowners to deduct property taxes assessed on their real estate holdings from their annual income taxes, reducing overall tax liability.
A tax bracket refers to the range of income subject to a certain marginal tax rate. It defines the percentage of each additional dollar in income required to be paid as income taxes.
