Search results
Results from the WOW.Com Content Network
Oil depletion allowance. The oil depletion allowance in American (US) tax law is an allowance claimable by anyone with an economic interest in a mineral deposit or standing timber. [1] The principle is that the asset is a capital investment that is a wasting asset, and therefore depreciation can reasonably be offset (effectively as a capital ...
The dividends are then taxed as personal income. This system, similar to real estate investment trusts, effectively avoids the double taxation of corporate income. Texas oilman T. Boone Pickens is often credited with creating the first royalty trust in 1979; however Marine Petroleum Trust (Marps) was created in 1956, twenty three years earlier.
Royalty payment. A royalty payment is a payment made by one party to another that owns a particular asset, for the right to ongoing use of that asset. Royalties are typically agreed upon as a percentage of gross or net revenues derived from the use of an asset or a fixed price per unit sold of an item of such, but there are also other modes and ...
Revenue-based financing (also known as royalty financing [1] or royalty-based financing [2]) is a type of financial capital provided to growing businesses in which investors inject capital (sometimes called an advance) into a business in return for a fixed percentage of ongoing gross revenues (called royalties), with payment increases and decreases based on business revenues, typically ...
Depletion, for both accounting purposes and United States tax purposes, is a method of recording the gradual expense or use of natural resources over time. Depletion is the using up of natural resources by mining, quarrying, drilling, or felling . According to the IRS Newswire, [ 2] over 50 percent of oil and gas extraction businesses use cost ...
For premium support please call: 800-290-4726 more ways to reach us
Royalty rate assessment is a practical tool to gauge the impact of a royalty commitment in a technology contract on the business interests of the contracting parties. In this coverage, the terms 'royalty', 'royalty rate' and 'royalties' are used interchangeably. A firm with valuable Intellectual Property IP by having spent sums of money to ...
Tax withholding, also known as tax retention, pay-as-you-earn tax or tax deduction at source, is income tax paid to the government by the payer of the income rather than by the recipient of the income. The tax is thus withheld or deducted from the income due to the recipient. In most jurisdictions, tax withholding applies to employment income.