Basis Adjustment
/ˈbeɪsɪs əˈdʒʌstmənt/
Definitions
- (n.) An alteration made to the tax basis of an asset to reflect changes in its value, cost, or other relevant factors for tax or accounting purposes.
The basis adjustment increased the asset's tax value after improvements were made.
Forms
- basis adjustment
- basis adjustments
Related terms
See also
Commentary
Basis adjustments are critical in tax law for accurately measuring capital gains or losses and ensuring compliance with tax reporting requirements.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.