Brief Definition
Tax attributes refer to various financial characteristics or elements of a taxpayer that can affect their tax liability. These attributes can include items such as net operating losses, tax credits, basis in property, earnings and profits, and capital loss carryovers. Tax attributes can be used to reduce taxable income, offset taxes owed, or carry forward deductions to future tax years.
Further Explanation
Tax attributes refer to various financial characteristics or elements of a taxpayer that can affect their tax liability. These attributes can include items such as net operating losses, tax credits, basis in property, earnings and profits, and capital loss carryovers. Tax attributes can be used to reduce taxable income, offset taxes owed, or carry forward deductions to future tax years.
Example:
Net operating losses (NOL)
Tax credits
Basis in property
Earnings and profits
Capital loss carryovers
Etc.