net worth method

net-worth method. The procedure the Internal Revenue Service uses to determine the taxable income of a taxpayer who does not keep adequate records. • The change in net worth for the year determines the taxpayer’s gross income, after taking into account nontaxable receipts and nondeductible expenses. [Cases: Internal Revenue 4530. C.J.S. Internal Revenue §§ 645, 872.]

---

词条贡献者

双语律师Denise，知名法学院国际私法专业，擅长翻译各类与国际争议解决相关的法律文件。