Resources ❯ Accounting Terms

Short-Term

[SHAWRT-turm]

What is the definition of Short-Term?

Referring to a time frame that is typically less than one year, often used in financial contexts to describe obligations or assets that are due or expected to be liquidated within that period.

Using Short-Term in an Example

In accounting, short-term liabilities are obligations a company expects to settle within one year, such as accounts payable and accrued expenses.

Using Short-Term in a sentence

The CFO emphasized the importance of managing our short-term debts to maintain the company's liquidity over the next few quarters.

Related Terms

Surviving Spouse

A person whose spouse has died within the tax year and who may file a joint tax return for that year. Additionally, the surviving spouse can file joint returns for the next two years if they remain unmarried and maintain a household as the principal residence for a dependent child.

Swap

A financial contract in which two parties agree to exchange streams of payments over a specified period, based on different indices such as interest rates, foreign exchange rates, or equity indices, applied to a notional amount. Swaps typically do not involve the exchange of principal.

Deferred's AI 1031 Research Assistant is trained on 8,000+ pages of US tax law and outperforms human CPAs by 22%+

Deferred.com Resources

Recent Posts

Can you 1031 exchange a vacation home?

Because the 1031 Exchange rules permit owners to use the property part of the year, exchangers can have a cash-flowing, appreciating investment that also serves as their semi-permanent vacation property.

1031 Improvement Exchange

Learn how a 1031 Improvement Exchange can enable a value-add real estate investment strategy while also deferring capital gains taxes.

1031 Exchange Examples

Review some common 1031 exchange examples and take advantage of our profit-generating ideas to use the 1031 Exchange to make your property portfolio more profitable.

What are the disadvantages of a 1031 exchange?

The 1031 Exchange is a great way for businesses and investors to take advantage of the additional value of their real estate and put it into their next purchase, but are there tradeoffs to consider?

What Happens to Depreciation in a 1031 Exchange?

Depreciation recapture is a process then enables the IRS to collect taxes on the financial gain you have made from the sale of an asset. Exactly what depreciation recapture rate will apply will depend on your individual circumstances.

Form 6252: Report an Installment Sale

Use this form to report income from an installment sale on the installment method.