The Constructive Receipt Doctrine Requires That Income Must Be Recognized

question 85

True/False

The constructive receipt doctrine requires that income must be recognized when it is made available to the cash basis taxpayer, although it has not been actually received. The constructive receipt doctrine does not apply to accrual basis taxpayers.

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Definitions:

Milestones

Significant markers or events that signify progress or development in a particular process or journey.

Turning Points

Critical moments or events that result in significant change in the trajectory of an individual's life or situation.

Managing Transitions

The process of helping individuals, groups, or organizations move from one state, condition, or phase to another, often discussed in the context of life changes, corporate restructuring, or health care.

Substance Abuse

The harmful or hazardous use of psychoactive substances, including alcohol and illicit drugs.