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When Is a Taxpayer's Work Assignment in a New Locale

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Essay

When is a taxpayer's work assignment in a new locale temporary? Permanent? What difference does it make?

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Definitions:

Spot Rate

The current market price used for immediate delivery of a financial instrument or commodity.

Interest Rate

This is the proportion of a loan that is charged as interest to the borrower, typically expressed as an annual percentage of the loan outstanding.

Forward Rate Market

Refers to a financial market that deals with contracts specifying the rate at which currencies, securities, or commodities will be exchanged at a future date.

Spot Rates

The current price at which a particular security, commodity, or currency can be bought or sold for immediate delivery.

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