Sentence examples for is a substantial understatement from inspiring English sources

Only the $22,250 understatement for 1988 is a substantial understatement, i.e., it exceeds the greater of (a) $2,225 (10percentt of the tax required to be shown on the return for the taxable year (.10 × $22,250)) or (b) $10,000.

When there is a substantial understatement, the IRS has six years to challenge the return, unless one of the below three exceptions apply.

That is called a substantial understatement of income.

If any portion of an underpayment, as defined in section 6664(a) and § 1.6664-2, of any income tax imposed under subtitle A of the Code that is required to be shown on a return is attributable to a substantial understatement of such income tax, there is added to the tax an amount equal to 20percentt of such portion.

How do you disclose a tax position, for example to be sure you aren't hit with a substantial understatement penalty?

According to the House of Commons environmental audit committee, "this is likely to be a very substantial understatement".

There is also a penalty for a substantial understatement of income tax.

The statute is six years if your return includes a "substantial understatement of income".

Because the $8,163 understatement exceeds the greater of 10percentt of the tax required to be shown on the return for the year, i.e., $1,234 $12,339 ×.100) or $5,000, A has a substantial understatement of income tax for the year.

For the vast majority of tax returns, the statute of limitations runs three years after the return is filed, assuming that there is no "substantial understatement of income," which is generally 25% of the taxable income reported on the return.

Bittersweet is a vast understatement.