Definition
Tax deferral
A taxpayer defers taxation when postponing reporting income for Federal income tax purposes in accordance with applicable tax laws and regulations.
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Tax deferrals are situations in which the collection of taxes on generated revenue is delayed for a specified period of time.
Tax deferral The delay of a tax liability until a future date, as applicable in traditional IRAs, employer-sponsored retirement plans, and annuities.
Tax deferral option
Allowing the capital gains tax on an asset to be payable only when the gain is realized by selling the asset.
Tax Deferral: Investments where taxes due on the amount invested and/or its earnings are postponed until funds are withdrawn, usually at retirement.
Tax-Exempt: Investments (e.g., municipal bonds) where earnings are free from tax liability.
Tax Deferral (insurance term)
Related answers:
Is there a disadvantage to deferred tax liability? Read answer...
tax deferral This is when somebody chooses to pay for present taxes in the future. Differed... tax equivalent yield The pretax yield that an investment needs to have in order to provide the yield...
The Roth IRA does not provide immediate tax deferral like the traditional IRA does. In other words, if you are in the 30% tax bracket and you contribute $2,000 (the maximum allowed), you will not save on any current taxes owed.
Selling short can also be a tax deferral strategy. Again an investor can sell against the box, locking in a sell price but deferring the actual sell until the next tax year begins.
One possible "work around" to achieve the immediate tax deferral benefit of deductibility is to make a regular tax deductible IRA contribution if you qualify, and then make a penalty-free withdrawal for education purposes in a later year.
Tax deferral option
Tax differential view (of dividend policy)
Tax Equity and Fiscal Responsibility Act of 1982 (TEFRA)
Tax evasion
Tax free acquisition
Tax haven
Tax haven affiliate
Tax holiday
Tax liability
Tax lien
Tax loss carryback, carryforward ...
Registered Education Savings Plan (RESP): A plan that enables a contributor, on a tax deferral basis, to accumulate assets on behalf of a beneficiary to pay for a post secondary education.
Talk with the money establishment where you are going to have your CD about this. Some CD products allow you tax deferrals for a period of time. You might want to take advantage of this when you want to.
When you take your money out of a variable annuity, however, you will be taxed on the earnings at ordinary income tax rates rather than lower capital gains rates. In general, the benefits of tax deferral will outweigh the costs of a variable annuity ...
often have to hold the investment for terms of eight years or more, with no guarantee that any of the income or capital gains will materialize. Many people make direct investments because there can be significant tax benefits, such as tax deferral ...
 See also: Stock, Investment, Account, Income, Vesting
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