Cash-Equivalent Doctrine

Study Aids
Key Terms
C

Cash-Equivalent Doctrine

Definition

A principle that treats certain non-cash payment transactions like cash transactions for federal income tax purposes if they have the same value as cash. For example, promises to future payment may be treated like cash payments if unconditional, assignable, marketable, not subject to set-offs, and made by someone solvent.

Related rules

Mauris finibus odio eu maximus interdum. Ut ultricies suscipit justo in bibendum. Sed eu magna efficitur, luctus lorem ut, tincidunt arcu. Praesent varius sit amet erat hendrerit placerat. In posuere eget ante id facilisis. Integer semper venenatis felis lacinia malesuada.

— Sproull v. Commissioner

Get full access FREE

With a 7-day free trial membership
Here's why 802,000 law students have relied on our key terms:
  • A complete online legal dictionary of law terms and legal definitions
  • Over 7,900 key terms written in plain English to help you not only understand the law but master it
  • The premier online law dictionary built specifically for law students
  • Easy access in class or on the go, accessible both online and through the Quimbee mobile app
  • Reliable - written by legal professors and practitioners
  • Get instant access to all related rules of law to any specific key term with a Quimbee Study Aid plan

Get full access FREE

With a 7-day free trial membership