After-Tax Basis

Filed Under » , ,
Dictionary Says

Definition of 'After-Tax Basis'

The basis for weighing the performance of two investments against each other after taxes have been factored into the equation.
Investopedia Says

Investopedia explains 'After-Tax Basis'

After-tax basis calculations are often used to compare yields between taxable bonds, such as corporate securities, and tax-exempt municipal bonds. The taxable equivalent yield is the yield an investor would have to earn on a taxable investment in order to match the tax-exempt return of a municipal bond. Variations of the taxable equivalent yield formula can be used to compare government bond yields, which are taxable at the federal level but not subject to state taxes, with municipal and corporate securities.

Related Definitions

Search results for

'After-Tax Basis'

  • After-Tax Balance Rules For Retirement Accounts

    http://www.investopedia.com/articles/retirement/05/aftertaxassets.asp
    ... However, it is also possible to contribute amounts to employer-sponsored plans on
    an after-tax basis, and for IRAs, contributions can be non-deductible. ...

  • Tax-Saving Advice For IRA Holders

    http://www.investopedia.com/articles/retirement/06/TaxSavingTips.asp
    ... $25,000 represents contributions Jack made to his 401(k) account on an after-tax
    basis, which means distributions of these amounts should be tax free when ...

  • Deducting Losses On Your IRA Investments

    http://www.investopedia.com/articles/retirement/05/012505.asp
    ... contributions. Since Roth IRA contributions are non-deductible, all contributions
    are considered after-tax amounts (basis amounts). During ...

  • Natural Gas Write Offs

    http://stocks.investopedia.com/stock-analysis/2012/Natural-Gas-Write-Offs-APC-COP-PXD-CRK0209.aspx
    ... River Basin. The write down was caused by low natural gas prices and came
    to $1 billion on an after tax basis. The company said ...

  • Maximize Your Social Security Benefits

    http://www.investopedia.com/articles/retirement/08/cost-of-living.asp
    ... On a present-value basis (at a 5% discount rate), the value reduces to $805,673
    in today's dollars. On an after-tax basis, the present value is $684,822. ...

  • Roth Feature Boosts Benefits For 401(k) And 403(b) Plans

    http://www.investopedia.com/articles/retirement/08/Roth-401k-403b.asp
    ... Of course, Roth plans also have the same disadvantage as Roth IRAs, in
    that their contributions are made on an after-tax basis. ...

  • Avoiding Too Much Tax On Your Distributions

    http://www.investopedia.com/articles/retirement/05/nondeductibleIRA.asp
    ... will consist of non-deductible contributions (the cost basis) and deductible ... the
    total of your non-deductible IRA contributions and any after-tax money rolled ...

  • A Closer Look At The Roth 401(k)

    http://www.investopedia.com/articles/retirement/06/MoreOnRoth401k.asp
    ... withdrawn. With the Roth 401(k), however, contributions are made on an
    after-tax basis, but qualified distributions are tax free. The ...

  • Insurers Hit By Catastrophe Losses

    http://stocks.investopedia.com/stock-analysis/2011/Insurers-Hit-By-Catastrophe-Losses-ACE-PRE-XL-RNR-RE0322.aspx
    ... The Japanese disasters will cost the company between $200 and $250 million. All
    the losses are reported by the company on an after tax basis. ...

  • 3 Reasons To Use An Employer-Sponsored Retirement Plan

    http://www.investopedia.com/articles/retirement/04/101304.asp
    ... retirement account. Note: Salary deferral contributions to non-IRA based
    plans can also be made on an after-tax basis. In such cases ...

Related Articles

Bank Rates
Product Today Last Wk
$10K MMA 0.50% 0.51%
MMA 0.45% 0.46%
6 Month CD 0.46% 0.47%
1 Year CD 0.70% 0.75%
5 Year CD 1.46% 1.46%
1 Year Jumbo CD 0.66% 0.67%
Rate data provided by Bankrate
Product Today Last Wk
$30K HELOC 4.59% 4.60%
$30K Home Equity Loan 5.74% 5.77%
$50K Home Equity Loan 5.45% 5.50%
$50K HELOC 4.24% 4.24%
$100K Home Equity Loan 5.41% 5.46%
$100K HELOC 4.13% 4.13%
Rate data provided by Bankrate
Product Today Last Wk
30 Year Fixed 3.80% 3.80%
15 Year Fixed 3.09% 3.11%
1 Year ARM 3.54% 3.53%
30 Year Fixed Jumbo 4.38% 4.38%
5/1 ARM 2.65% 2.69%
3/1 ARM 2.69% 2.69%
Rate data provided by Bankrate
Product Today Last Wk
60 Month Used Car Loan 4.51% 4.51%
48 Month Used Car Loan 4.35% 4.35%
48 Month New Car Loan 3.24% 3.24%
36 Month Used Car Loan 4.34% 4.36%
36 Month New Car Loan 3.11% 3.13%
60 Month New Car Loan 3.35% 3.34%
Rate data provided by Bankrate
Partner Links