TAX

tax,n. A monetary charge imposed by the government on persons, entities, transactions, or property to yield public revenue. • Most broadly, the term embraces all governmental impositions on the person, property, privileges, occupations, and enjoyment of the people, and includes duties, imposts, and excises. Although a tax is often thought of as being pecuniary in nature, it is not necessarily payable in money. [Cases: Internal Revenue 3001; Taxation 1, 856.1, 906.11, 931, 1201. C.J.S. Internal Revenue § 2; Taxation §§ 1–3, 5–6, 1693, 1783–1785, 1792, 1990, 1993.] —
tax,vb. “Taxes are the enforced proportional contributions from persons and property, levied by the state by virtue of its sovereignty for the support of government and for all public needs. This definition of taxes, often referred to as ‘Cooley’s definition,’ has been quoted and indorsed, or approved, expressly or otherwise, by many different courts. While this definition of taxes characterizes them as ‘contributions,’ other definitions refer to them as ‘imposts,’ ‘duty or impost,’
‘charges,’ ‘burdens,’ or ‘exactions’; but these variations in phraseology are of no practical importance.” 1 Thomas M. Cooley, The Law of Taxation§ 1, at 61–63 (Clark A. Nichols ed., 4th ed. 1924). accrued tax.A tax that has been incurred but not yet paid or payable. accumulated-earnings tax.A penalty tax imposed on a corporation that has retained its earnings in an effort to avoid the income-tax liability arising once the earnings are distributed to shareholders as dividends. — Also termed undistributed-earnings tax. [Cases: Internal Revenue 3843–3845. C.J.S. Internal Revenue §§ 381–382.]
additional tax.See stopgap tax.