permanent difference

A difference between *income (definition 2) calculated under *Generally Accepted Accounting Principles and income calculated according to *taxation rules. Permanent differences are never resolved or reversed. Contrast *temporary difference.

Auditor's dictionary. 2014.

Look at other dictionaries:

  • permanent difference — A difference between profits or losses computed for tax purposes and profits presented in the financial statements. For example, UK entertaining expenditure will be shown as an expense in the financial statements but will not be allowed as a… …   Accounting dictionary

  • Permanent residency — refers to a person s visa status: the person is allowed to reside indefinitely within a country despite not having citizenship. A person with such status is known as a permanent resident. Countries with permanent residency systems Not every… …   Wikipedia

  • Difference and Repetition —   …   Wikipedia

  • Permanent life insurance — is a form of life insurance such as whole life or endowment, where the policy is for the life of the insured, the payout is assured at the end of the policy (assuming the policy is kept current) and the policy accrues cash value. This is compared …   Wikipedia

  • Permanent war economy — The concept of permanent war economy originated in 1944 with an article by Ed Sard (alias Frank Demby, Walter S. Oakes and T.N. Vance; he was a Trotskyist from the 1930s) who predicted a post war arms race. He argued at the time that the USA… …   Wikipedia

  • Difference Engine — ▪ calculating machine       an early calculating machine, verging on being the first computer, designed and partially built during the 1820s and 30s by Charles Babbage (Babbage, Charles). Babbage was an English mathematician and inventor; he… …   Universalium

  • originating timing difference — A difference between profits or losses computed for tax purposes on a receipts and payments basis and profits presented in the financial statements on an accruals basis. These differences arise as a result of items of income and expenditure in… …   Accounting dictionary

  • timing difference — 1. An inconsistency between the timing of the accounting of an item and the timing of its underlying circumstances. 2. A difference between *income (definition 2) calculated under *Generally Accepted Accounting Principles and income calculated… …   Auditor's dictionary

  • temporary difference — A transitory difference between *income (definition 2) calculated under *Generally Accepted Accounting Principles and income calculated according to *taxation rules. Temporary differences originate in one *fiscal year and reverse in another.… …   Auditor's dictionary

  • Buy term and invest the difference — Buying term and investing the difference is a concept involving term life insurance and investment strategies that allow individuals to eventually Self Insure and provides an alternative to permanent life insurance. Generally speaking term… …   Wikipedia

Share the article and excerpts

Direct link
Do a right-click on the link above
and select “Copy Link”

We are using cookies for the best presentation of our site. Continuing to use this site, you agree with this.