uniform capitalization rules

uniform capitalization rules definition - business

uniform capitalization rules

The requirement that certain taxpayers capitalize rather than expense direct and indirect costs incurred in the production of personal property. The effect is to move expenses from the period of production to the period of sales. This results in a higher taxable income in years when more products are produced than sold.

The American Heritage® Dictionary of Business Terms Copyright © 2009 by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company. All rights reserved.

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