How Do the Net Operating Loss Provisions in the Tax

question 82

Essay

How do the net operating loss provisions in the tax law mitigate the effect of the annual accounting concept?

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Definitions:

Assignee

An individual or entity to whom rights or interests have been transferred by another party.

Statutory Assignment

An assignment that meets certain qualifications and under which the assignee can enforce a claim directly without involving the assignor.

Perished

Refers to goods or property that has been destroyed or has deteriorated to the point where it is no longer usable or valuable.

Lumber

Processed wood used for building and construction purposes.