If Tax Rates Will Be Higher Next Year, Taxpayers Should

question 16

True/False

If tax rates will be higher next year, taxpayers should defer their income to next year regardless of their after-tax rate of return.

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Definitions:

Subsurface Rights

Legal rights to the minerals or resources located below the surface of a piece of land.

Easement By Necessity

A type of easement granted by law when it is necessary for reasonable use of a property, commonly for access to landlocked property.

Adverse Possession

An involuntary property transfer in which a person acquires ownership of property by treating a piece of real property as his or her own, without protest or permission from the owner.

Easements

A right granted to a person or entity to use a portion of another’s property for a specific purpose, without owning it.